Farmajo sells the capabilities of Somalia before his departure from power.

 Somalia's Petroleum Authority has extended the deadline for international companies to apply for oil exploration licenses believed to be off the coast of Somalia.

The Petroleum Authority officially launched the first round of licensing in August 2020, and then extended its deadline to March 30 to June 30.

However, Somalia's Petroleum Authority said in a statement obtained by Capital Online on June 29th that it was now working to extend the deadline following requests from investors and international oil companies. deadline for companies to submit their applications.

The Ministry of Petroleum and Petroleum Authority said it would announce the new extension within 14 days.

However, Capital Online believes that following the political crisis in the country, which resulted from President Farmajo's failed extension, most international companies have delayed applying for the license.

There is also the fact that the Union of Somali Candidates has warned companies to enter into an agreement with a government whose term has expired, and if they do so, any agreement they enter into will not be recognized when a new government is formed in the country.

All of this has frightened foreign companies, which has led to delays in their applications.

On January 4, 2021, there was a delay in the signing ceremony for Somalia's oil license, which would take place at the Somali presidential palace. The signing ceremony will see the release of Blocks on the coasts of Hobyo and Barawe districts, which are under the administration of Galmudug and South West.

Somalia's Minister of Petroleum, Abdirashid Mohamed, was scheduled to sign the agreement with Liberty and Coastline Exploration Petroleum, formerly known as Soma Oil and Gas.

The delay was prompted by international pressure on the government to postpone it, Capital Online learned, but the federal government did it for another reason.

Speaking at the time, Somali Minister of Petroleum Abdirashid Mohamed said the agreement called for technical issues.

Read below the letter from the Petroleum Authority extending the deadline.