(Ecofin Agency) - PetroSeychelles has announced that WHL Energy and Afren Plc are both postponing their search for oil after the decline in the prices of crude oil globally.

The company’s Chief Executive, Eddy Belle (photo), in a statement, said that the departure of the two companies signifies that the areas are available for other exploration companies. « Both are leaving so the area goes back to government and will be made available to other companies who wish to do oil exploration in Seychelles, » he said.

The statement noted that although the decline in the prices of crude oil prices is having a positive effect on Seychelles' economy, it is badly affecting the upstream sector of the industry.

The price of crude Oil in the international market since 2015 continues to fall unexpectedly and on Thursday Brent Crude fell below $30 a barrel making the oil companies go into bankruptcy and the rest have cut their exploration budgets.

According to Seychelles News Agency, Afren Plc went into insolvency in July while WHL Energy witnessed a departure of its Ophir Energy in December.

Anita Fatunji