Eco (Atlantic) Oil & Gas Ltd. has completed a significant restructuring of its Namibian exploration portfolio, extending all four of its Walvis Basin licences and farming out one to a local operator as part of a broader realignment of its activities.
The company announced on 30 September 2025 that the Ministry of Mines and Energy had granted a twelve-month extension to the initial exploration period for Petroleum Exploration Licences (PELs) 97, 98, 99 and 100, moving their expiry dates to September 2026. The amendment deeds were signed with the regulator, giving Eco time to advance new work programmes and negotiate future farm-downs.
As part of the same process, Eco Atlantic reached a binding agreement to farm out its entire 85 per cent working interest in PEL 98 (Block 2213, the Sharon Block) to Lamda Energy (Pty) Ltd, a privately held Namibian energy company. The transaction, which remains subject to ministerial consent, will transfer all technical and financial obligations for the block to Lamda once approved. Under the terms of the deal, Lamda will assume operatorship, while Eco will retain a seat on the Lamda board and receive an administrative payment on closing. The agreement also provides for contingent payments of up to US$2 million should Lamda subsequently farm out its interest to another partner.
Eco said the move supports Namibia’s goal of expanding local participation in the upstream sector. “This marks a significant milestone in building local capacity and advancing inclusive energy development,” the company stated.
The four Namibian blocks form part of Eco’s long-standing Walvis Basin portfolio acquired between 2011 and 2012, when the country’s offshore shelf was still considered frontier acreage. Early partners included Tullow Oil plc and Azinam Ltd, which funded the first modern 3D seismic programmes in the Basin. Following Tullow’s exit and Azinam’s corporate merger with Eco Atlantic, the company became the operator across all four licences: PEL 97 (Cooper), PEL 98 (Sharon), PEL 99 (Guy), and PEL 100 (Tamar). Each licence carries a 10 per cent carried interest for Namcor, while Eco holds 85 per cent working interest and a 5 per cent local partner carried share.
Over the past decade, Eco has maintained continuous operations and regulatory compliance on these blocks despite global downturns and shifting exploration focus toward the Orange Basin.
Its dataset includes 2D and 3D seismic surveys covering more than 10,000 square kilometres. Among the early campaigns was a 1,100 km² 3D survey over the Cooper Block, which delineated the Osprey Lead, interpreted as an Aptian-Albian fan complex.
With renewed interest in Namibia following the deep-water discoveries by Shell and TotalEnergies farther south, Eco Atlantic’s 2025 strategy centres on updating its seismic and subsurface models across the Walvis Basin and preparing for potential farm-ins by larger partners.
According to its September 2025 announcement, the company has completed and submitted new work programmes for all four licences.
These include 3D seismic reprocessing on PEL 97 and new ~1,000 km² 3D surveys on PEL 99 and PEL 100, focusing on Lower Cretaceous turbidite systems.
The Ministry of Environment, Forestry and Tourism issued an Environmental Clearance Certificate on 15 June 2025, authorising the planned seismic work.
The deeper-water acreage targeted under PELs 97, 99, and 100 lies in water depths of roughly 1,500 to 3,000 metres.
Eco Atlantic said these licences hold multiple amplitude-supported leads analogous to those proven in the Orange Basin, where Venus and Graff have confirmed significant hydrocarbon systems. The company’s technical teams in Windhoek, London, and Toronto are currently re-evaluating basin models using the reprocessed data.
President and Chief Executive Officer Gil Holzman stated that the portfolio update offers both flexibility and focus. “With these licence extensions and updated work programmes, we are now well-positioned to unlock further value in Namibia,” he said. “Our objective is to advance each block through the next phase of exploration and attract quality partners for drilling.”
Eco Atlantic’s farm-out to Lamda Energy introduces the first fully Namibian-owned company to hold operatorship in the Walvis Basin.
Upon approval, Lamda will become responsible for implementing the technical programme on PEL 98. Eco described the collaboration as part of its long-standing policy of promoting local equity and training opportunities within the oil and gas sector. The company has maintained carried interests for Namibian partners since its initial entry into the country in 2011.
The Walvis Basin continues to draw renewed technical interest following recent discoveries in the Orange Basin, which have confirmed the regional petroleum system. While deep-water exploration remains capital-intensive, the Walvis region’s shallower geology and existing seismic coverage make it a viable candidate for low-cost evaluation and future drilling campaigns.
Eco’s retained acreage spans more than 28,500 square kilometres, giving it one of the most significant continuously operated positions in northern offshore Namibia.
As of its latest quarterly statement, Eco reported approximately US$8 million in cash and no long-term debt, which is sufficient to fund its seismic commitments and partner negotiations through 2026.
The company remains engaged in discussions with potential farm-in partners across all retained blocks. Industry analysts note that any future drilling would likely follow the completion of the new 3D seismic programmes and the identification of high-priority targets.
The Namibian government’s extension of Eco’s licences underscores its policy of encouraging long-term investment and local participation in the offshore sector. The Ministry of Mines and Energy has stated that exploration activities in the Walvis, Lüderitz, and Orange Basins are being coordinated to balance technical progress with environmental oversight. The country currently counts more than twenty-five active offshore licences, with multiple appraisal campaigns scheduled through 2026.
For Eco Atlantic, the updated Namibian portfolio marks a new phase in a relationship that began over a decade ago. Having pioneered early exploration work in the Walvis Basin, the company now enters a period of data-driven evaluation and partnership building.
Its decision to transfer the Sharon Block to Lamda Energy aligns with national objectives to expand domestic operatorship while preserving Eco’s exposure to deeper-water opportunities.
“The extension of our licences together with the farm-out of PEL 98 is a major step forward for both Eco and Namibia,” Holzman said in closing remarks accompanying the September release. “We remain committed to supporting the development of local expertise and to advancing our exploration efforts in collaboration with Namibian stakeholders.”
