Reconnaissance Energy Africa is seeking to raise N$130 million (C$10 million) for exploration activities, working capital and general corporate purposes.
The primary exploration activity to be funded will be the drilling of Prospect I, which has been named the Kavango West 1X well.
BW Energy has offered C$2 million towards the fundraising, thereby increasing its share ownership from 6.5% to 7.6%.
A further C$4 million at C$0.50 per unit is expected from BW Energy, the directors, management members of Reconnaissance Africa, and other confident investors.
Work on the access road and drill site is currently being completed while Reconnaissance Energy Africa awaits receipt of the remaining requisite permits.
Reconnaissance Africa plans to move the rig to the Kavango West 1X well drilling location in late June, with drilling to begin thereafter.
The Kavango West 1X exploration well will be the second test in the expansive Damara Fold Belt play.
The prospect is a large fold identified on modern 2D seismic data, extending over 20 kilometres in length and 5 kilometres in width, and is expected to penetrate a thick Otavi carbonate reservoir section, which is the primary target in the play.
The Kavango West 1X well will be drilled to a planned total depth of approximately 3,800 metres (12,500 feet) and is targeting 346 million barrels of gross unrisked (30 million barrels of gross risked) prospective light/medium crude oil resources on a 100% working interest basis (312 million barrels(1,2) net unrisked (27 million barrels net risked) to ReconAfrica’s 90% working interest as at the date of the Netherland, Sewell & Associates, Inc. NSAI report) or 1,839 billion cubic feet of gross unrisked (133 Bcf risked) prospective natural gas resources on 100% working interest basis (1,655 billion cubic feet(1,2) unrisked net (120 Bcf risked net) to ReconAfrica’s 90% working interest as at the date of the NSAI report).
ReconAfrica CEO Brian Reinsborough expressed excitement to spud one of the company’s largest and most attractive prospects.
Reinsborough said the results of the Naingopo exploration well announced in January 2025 increased the company’s confidence in the potential for this well.
BW Energy CEO Carl K. Arnet said the technical and operational teams at BW Energy are delighted to be participating in the high-potential Kavango West 1X exploration well.
Arnet added that BW Energy is well-positioned in this strategically important energy region, further strengthening our position as a leader in Namibia’s development towards energy independence.
“The data and insights gained through ReconAfrica’s exploration campaign will further our understanding of the geology and petroleum system in Namibia and help de-risk planned exploration and development of our Kudu licence,” Arnet said.
