REG - Afentra PLC - Government Approval of Azule Acquisition

AfentraAnnouncement

25/04/2024 07:00

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RNS Number : 9294L  Afentra PLC  25 April 2024

25 April 2024

AFENTRA PLC

 

Government Approval of Azule Acquisition

 

 

Afentra plc ('Afentra' or the 'Company') (AIM: AET), the upstream oil and gas
company focused on acquiring production and development assets in Africa,
provides the following update regarding the previously announced Angolan
acquisition.

 

Government Approval of Azule Acquisition

Afentra is pleased to announce that it has received approval from the
Government of Angola for the previously announced acquisition of a 12%
non-operating interest in Block 3/05 and a 16% non-operating interest in Block
3/05A from Azule Energy Angola Production B.V. ('Azule') (the 'Azule
Acquisition'), pursuant to a sale and purchase agreement between Azule and
Afentra's wholly-owned subsidiary, Afentra (Angola) Ltd, dated 19 July 2023.

The Company is now working with Azule to finalise the formal completion of the
Azule Acquisition which is anticipated to occur within Q2 2024 as previously
announced. At that time, we will provide an update on the deal completion
including the asset cashflow from the 1 October 2022 effective date.

Punja Discovery Block 3/05A - Enhanced Fiscal Terms

Following a request by the Block 3/05A partnership the Government of Angola
have declared the Punja Development Area located in Block 3/05A, as a marginal
discovery. As a result, the applicable fiscal incentives will be applied to
this discovery, significantly enhancing the commercial value of this potential
development.

Commenting on the update, CEO Paul McDade said:

"The Angolan government's approval of the Azule Acquisition allows us to
proceed with the completion of our third transaction in Angola providing
Afentra a material equity position in these world-class assets. The improved
fiscal terms for the Punja Discovery is another clear indication of the
support given by the Government of Angola to parties willing to invest in
their oil and gas sector. This further encourages us to continue to work with
Sonangol and our joint venture partners to grow production and reserves as we
develop the vast potential of both the producing fields in Block 3/05 and the
significant discoveries within Block 3/05A."

For further information contact:

Afentra plc +44 (0)20 7405 4133

Paul McDade, CEO

Anastasia Deulina, CFO

 

Buchanan (Financial PR) +44 (0)20 7466 5000

Ben Romney

Barry Archer

George Pope

 

Peel Hunt LLP (Nominated Advisor and Joint Broker) +44 (0)20 7418 8900

Richard Crichton

David McKeown

Georgia Langoulant

 

Tennyson Securities (Joint Broker) +44 (0)20 7186 9033

Peter Krens

 

 

About Afentra

Afentra plc (AIM:AET) is an upstream oil and gas company focused on
opportunities in Africa. The Company's purpose is to support a responsible
energy transition in Africa by establishing itself as a credible partner for
divesting IOCs and Host Governments. Afentra has an 18% non-operated interest
in the producing Block 3/05 and a 5.33% non-operated interest in the adjacent
development Block 3/05A and a 40% non-operating interest in the exploration
Block 23, all offshore Angola in the Lower Congo Basin. Afentra has a current
carried interest in the Odewayne Block onshore southwestern Somaliland.

 

Inside Information

This announcement contains inside information for the purposes of article 7 of
Regulation 2014/596/EU (which forms part of domestic UK law pursuant to the
European Union (Withdrawal) Act 2018) and as subsequently amended by the
Financial Services Act 2021 ('UK MAR'). Upon publication of this announcement,
this inside information (as defined in UK MAR) is now considered to be in the
public domain. For the purposes of UK MAR, the person responsible for
arranging for the release of this announcement on behalf of Afentra is Paul
McDade, Chief Executive Officer.

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