Africa Oil Corp has successfully increased its interest in Block 3B/4B in the Orange Basin. The Government of South Africa issued the approval that allows the transfer of a 6.25% interest in Block 3B/4B from Azinam Limited to Africa Oil Corp.
Africa Oil Corp made a payment of US $2.5M to Eco (Atlantic) Oil & Gas Ltd as per the terms of the agreement. This transaction resulted in Africa Oil Corp now holding an operated 26.25% interest in Block 3B/4B.
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Block 3B/4B
Block 3B/4B covers an area of 17,581 km2 within the Orange Basin, offshore South Africa in water depths ranging between 500m and 2,500m. This block lies to the southeast and on trend with number of oil discoveries including Venus and Graff. Africa Oil has approximately 14,000 km of 2D seismic and 10,800 km2 of 3D seismic over Block 3B/4B and has identified a large opportunity set of exploration prospects, with the majority of the prospects lying in approximately 1,500m of water.
With this transfer, Eco retains a 20.00% interest, and Ricocure (Pty) Ltd holds a 53.75% interest in Block 3B/4B. Africa Oil Corp and its partners are planning a drilling campaign on Block 3B/4B. They are also in discussions with potential partners to farm out a share of their working interest in the Block. Additionally, they are working with an environmental consulting firm to conduct an Environmental and Social Impact Assessment process in preparation for permitting and drilling activities.
Roger Tucker, CEO of Africa Oil, expressed his satisfaction with the increased interest in Block 3B/4B, highlighting the significant opportunity in the Orange Basin. He emphasized the large prospect inventory in the block, which is based on 3D seismic data and shares similarities with discoveries made by Shell and TotalEnergies in the Orange Basin.
