REG - Eco (Atlantic) O&G - Operations Update: Gazania, Block 2B, South Africa

Eco (Atlantic) Oil & GasAnnouncement

22/06/2022 07:00

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RNS Number : 7113P  Eco (Atlantic) Oil and Gas Ltd.  22 June 2022

22 June 2022

 

 

ECO (ATLANTIC) OIL & GAS LTD.

("Eco," "Eco Atlantic," "Company," or together with its subsidiaries, the
"Group")

 

Operations Update - Gazania-1 Well Block 2B, South Africa

 

Eco (Atlantic) Oil & Gas Ltd. (AIM: ECO, TSX ‐ V: EOG), the oil and
gas exploration company focused on the offshore Atlantic Margins, provides an
update on the operations for its planned Gazania-1 Well, offshore South
Africa.  Eco through its wholly owned subsidiary Azinam South Africa Limited
Operates and holds a 50% working interest ("WI") in Block 2B, plans to spud
the Gazania-1 well, 25km offshore the Northern Cape in South Africa in
 September 2022. The well will take approximately 25 days to drill.

 

Eco Atlantic acquired 100% of Azinam Group as initially announced on 10
January 2022, which increased WI in its all existing Namibian licences PELs
97, 98, 99 and 100 to 85%, and led to a new country entry with two blocks
offshore in the Orange Basin, South Africa; a 50% WI and Operatorship in Block
2B, which contains the previous AJ-1 oil discovery with 56 million barrels of
oil equivalent ("mmbbl") Mean Contingent Resources of light oil, and a 20% WI
in Block 3B/4B.  Block 3B/4B directly offsets the prolific multibillion
barrels discoveries offshore Namibia announced earlier this year by Shell
(Graff-1) and TotalEnergies (Venus-1).

 

Eco, as Operator of Block 2B is leading the JV partnership comprised of Africa
Energy Corp (27.5% WI), Panoro 2B Limited, a subsidiary of Panoro Energy ASA
(12.5% WI) and Crown Energy AB (10% WI) in drilling the Gazania-1 Exploration
Well in Q3'22. The well is being drilled 25km offshore in 150 meters of water
and will be drilled to a depth of approximately 2,800 meters to target a
stacked pay section up dip of the AJ-1 discovery and in the proven oil
horizon.

 

As announced on 3 March 2022, Eco contracted the Island Innovator rig with
Island Drilling Company AS, the rig is to be mobilised from Bergen, Norway in
the second half of July.  The state of the art semi-submersible drilling rig
was selected for its modern safe operating systems, its stationary anchoring
and its system specifically engineered for the engineering requirements and
depth range for this well. The well anticipated to be low pressure and low
temperature based on the evaluation of all regional wells. It will be cased
with three telescoped and cemented casings and will be drilled with
environmentally friendly water based drilling fluids. The Company plans to
seal and plug the well after the test with no remaining equipment left on the
sea floor. The sea floor well area was surveyed in 2021 to confirm there are
no environmental or culturally sensitive concerns.

 

Eco recently met face-to-face with members of the local communities and
interested organizations through both focus groups and ongoing open meeting
forums, to provide information sharing sessions,  to engage with them to
inform on the upcoming operations and to answer any questions.

 

 

 

 

Colin Kinley, Co-Founder and COO of Eco Atlantic commented:

 

"The acquisition of Azinam created an opportunity to work with the JV
partners, the Government of South Africa and importantly the people of South
Africa to drill this significant well in Q3 this year. We have worked
diligently with our drilling team and partners to define a safe and efficient
drilling strategy for Gazania, to define drilling engineering to meet world
standards of environmental protection and hopefully give South Africa access
to its own oil resources."

 "We acknowledge that South Africa's energy transition must be thought out
from all perspectives. Although the required permits are in place at this
point we thought it necessary to voluntarily meet with the regional local
communities and interested parties to hear out concerns and interests. The
Company met with community representatives at public information sessions and
we have had, and will continue to have, face-to-face discussions in the coming
weeks. We are currently on schedule to mobilize out of Norway in the third
week of July and spud early in September. We anticipate approximately three to
four weeks on site to drill the test well and then regardless of our findings
we will seal off the well, ensure the site is completely restored and move
off. Eco has chosen a majority of available South African services and will
base its operations from Cape Town. This is an exciting opportunity and holds
the potential of establishing a new over 300 million barrels light oil
resource."

 

**ENDS**

 

For more information, please visit www.ecooilandgas.com or contact the
following:

 

 Eco Atlantic Oil and Gas                                   c/o Celicourt +44 (0) 20 8434 2754
 Gil Holzman, CEO

 Colin Kinley, COO

 Alice Carroll, Head of Corporate Sustainability            +44(0)781 729 5070 | +1 (416) 318 8272
 Strand Hanson Limited (Financial & Nominated Adviser)

                                                            +44 (0) 20 7409 3494
 James Harris

 James Bellman

 Berenberg (Broker)                                         +44 (0) 20 3207 7800
 Emily Morris

 Detlir Elezi

 Celicourt (PR)                                             +44 (0) 20 8434 2754
 Mark Antelme

 Jimmy Lea

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018 (as amended).

 

About Eco Atlantic:

 

Eco Atlantic is a TSX-V and AIM-quoted Atlantic Margin-focused oil & gas
exploration company with offshore license interests in Guyana, Namibia, and
South Africa. Eco aims to deliver material value for its stakeholders through
its role in the energy transition to explore for low carbon intensity oil and
gas in stable emerging markets close to infrastructure.

 

Offshore Guyana in the proven Guyana-Suriname Basin, the Company holds a 15%
Working Interest in the 1,800 km(2) Orinduik Block Operated by Tullow Oil. In
Namibia, the Company holds Operatorship and an 85% Working Interest in four
offshore Petroleum Licences: PELs: 97, 98, 99, and 100, representing a
combined area of 28,593 km(2) in the Walvis Basin.

 

Offshore South Africa, Eco is Operator and holds a 50% working interest in
Block 2B and a 20% Working Interest in Blocks 3B/4B operated by Africa Oil
Corp., totalling some 20,643 km(2).

 

Cautionary Notes:

 

This news release contains certain "forward-looking statements", including,
without limitation, statements containing the words "will", "may", "expects",
"intends", "anticipates" and other similar expressions which constitute
"forward-looking information" within the meaning of applicable securities
laws. Forward-looking statements reflect the Company's current expectations,
assumptions, and beliefs, and are subject to a number of risks and
uncertainties that could cause actual results to differ materially from those
anticipated. These forward-looking statements are qualified in their entirety
by the inherent risks and uncertainties surrounding future expectations.

 

Important factors that could cause actual results to differ materially from
expectations include, but are not limited to, general economic and market
factors, competition, the effect of the global pandemic and consequent
economic disruption, and the factors detailed in the Company's ongoing filings
with the securities regulatory authorities, available at www.sedar.com
(http://www.sedar.com) . Although forward-looking statements contained herein
are based on what management considers to be reasonable assumptions based on
currently available information, there can be no assurance that actual events,
performance or results will be consistent with these forward-looking
statements, and our assumptions may prove to be incorrect. Readers are
cautioned not to place undue reliance on these forward-looking statements. The
Company undertakes no obligation to publicly update or revise any
forward-looking statements either as a result of new information, future
events or otherwise, except as required by applicable laws.

 

The TSX-V has neither approved nor disapproved the contents of this news
release. Neither the TSX-V nor its Regulation Services Provider (as that term
is defined in the policies of the TSX-V) accept responsibility for the
adequacy or accuracy of this release.

 

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