The production sharing agreement for Invictus Energy's Cabora Bassa project is now in the Government Gazette. Here's what it covers and what still has to happen.

The legal deal that will govern any oil and gas that comes out of the Cabora Bassa basin in northern Zimbabwe is now official. The Petroleum Production Sharing Agreement (PPSA) was published in the Government Gazette as General Notice 2101 of 2026 on Friday 30 October, according to a statement Invictus Energy filed with the Australian Securities Exchange on Monday.

The agreement is between the Republic of Zimbabwe, ASX-listed Invictus Energy as operator, and Geo Associates (Pvt) Ltd, the licence holder, which Invictus owns 80% of. Invictus says it was signed at a ceremony in Harare in May 2026. Gazettal, the company says, "completes the execution requirements" for the agreement.

What the agreement does

According to Invictus, the PPSA sets out the long-term fiscal, legal and commercial terms for exploring, appraising, developing and producing petroleum from the Cabora Bassa Project. It also sets how the government shares in the benefits if production happens: through agreed production- and profit-sharing arrangements, plus royalties and corporate tax.

The company says the agreement also covers environmental management, decommissioning and site restoration, and requires compliance with Zimbabwean law. Invictus describes the PPSA, together with the National Project Status the project already holds, as "a central pillar" for attracting long-term investment.

One housekeeping note: Invictus says the notice will be re-published in the next edition of the Government Gazette to correct a typographical error.

Why it matters

Mukuyu, the gas-condensate discovery Invictus made in the basin around Muzarabani, is Zimbabwe's most-watched energy prospect. Many Zimbabweans at home and in the diaspora follow Invictus, which is also listed on the Victoria Falls Stock Exchange.

Managing director Scott Macmillan said the gazettal gives "the long-term fiscal, legal and commercial certainty required to underpin the substantial investment needed" to take Mukuyu through appraisal towards development and commercial production. That is the point of a deal like this. Oil and gas projects need years of spending before they earn anything, and partners and lenders want fixed terms before they commit.

The Herald (Chronicle) also reported the gazettal on Monday and described it as a major milestone for the sector.

What it doesn't mean

This is paperwork, not production. No gas is flowing from Mukuyu. In its own words, Invictus is still working on "the appraisal and commercialisation pathway" for the discovery. The company's next step is drilling: Macmillan said its "immediate focus remains on the upcoming Musuma-1 exploration well", another target in the basin. Mining Zimbabwe also reported that preparations for that well are under way.

The company has not said when, or whether, commercial production will start, and that will depend on the substantial investment Invictus itself says is still needed. The Grapevine will follow up when Musuma-1 is drilled.

Sources: Invictus Energy ASX announcement, 2 Nov 2026: https://announcements.asx.com.au/asxpdf/20261102/pdf/0763ry2cqg6bqh.pdf · Mining Zimbabwe, 2 Nov 2026: https://miningzimbabwe.com/invictus-moves-cabora-bassa-towards-development-after-petroleum-agreement-gazettal/

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