African Oil Corporation plans to complete the purchase of the shareholdings of certain minority shareholders of Impact Oil in Q3 2024.
The company has a 31.1% shareholding in Impact Oil & Gas Limited, which has an 18.9% interest in Block 2912 and a 20.0% interest in Block 2913B in the Orange Basin.
TotalEnergies (37.8% in 2912 and 40% in 2913B) operates the blocks.
Other partners include QatarEnergy (28.3% in block 2912 and 30% in block 2913B) and Namcor (15% in block 2912 and 10% in block 2913B).
In January 2024, African Oil Corporation announced a strategic farmout agreement between Impact Oil and Gas Limited and TotalEnergies that allows the company to continue its participation in the world-class Venus oil development project and the follow-on exploration and appraisal campaign on Blocks 2913B and 2912 with no upfront costs.
On closing the farm-out transaction with TotalEnergies, Impact Oil and Gas Limited retains a carried 9.5% working interest in each of the two blocks.
This transaction frees up African Oil Corporation’s balance sheet to pursue other growth opportunities and shareholder capital returns.
According to African Oil Corporation’s Second Quarter 2024 Results, the technical studies to be carried out during 2024 are expected to define the Venus development concept.
African Oil Corporation says the drilling and test results from Venus-1X, Venus-1A, Venus-2A, and Mangetti-1X (Venus interval), completed in 2023 and H1 2024, support the development of the Venus oilfield.
In addition to the Venus opportunity, the company has retained upside exposure to appraisal and exploration opportunities that, in a successful case, could significantly increase the existing discovered resource base on Blocks 2912 and 2913B.
Africa Oil Corporation further says that processing data from the 3D seismic data survey completed during H1 2024 could better define the prospectivity of Block 2193B to the south of the Venus discovery.
The joint venture will consider drilling further high-impact exploration wells on separate fan structures on this block in late 2024 or 2025 once the 3D seismic interpretation work is completed.
The Mangetti-1X exploration well, located approximately 35 km northwest of the Venus-1X, also intersected hydrocarbon-bearing intervals in the Mangetti and Venus fans.
The operator has commenced planning a well to appraise the Mangetti fan.
