Petroliam Nasional Bhd. is close to an agreement to resume oil exploration in Ethiopia’s Somali region, the Reporter said, citing people it didn’t identify.

The oil company is in talks with Sino Africa, an exploration company owned by Ethiopian businessman Tewodros Ashenafi, to conduct seismic surveys and drill wells in the Ogaden basin Ethiopia, the Addis Ababa-based newspaper said.

Petronas suspended exploration in the Ogaden in April 2007 after the Ogaden National Liberation Front, an ethnic Somali group, attacked a Chinese-run exploration site, killing 65 Ethiopian and nine Chinese workers.

By Jason McLure, Bloomberg