REG - Global Petroleum Ltd - Extension to Global’s Licence PEL 0094

Global PetroleumAnnouncement

25/04/2022 13:00

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RNS Number : 2346J  Global Petroleum Ltd  25 April 2022

 

25 April 2022

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via a
Regulatory Information Service ("RIS"), this inside information is now
considered to be in the public domain.

 

 

Global Petroleum Limited

("Global" or "the Company")

 

Namibia Update - Extension to Global's Licence PEL 0094 ("PEL 94")

 

Global (AIM: GBP) is pleased to announce that the Namibian authorities have
granted a one year extension to the Initial Exploration Period of PEL 94, from
September 2022 to September
2023                           ("licence
extension").

 

The outstanding commitment for the Initial Exploration Period (as extended) is
to acquire, process and interpret 2,000 kms of 3D seismic data. It should be
noted that Global's two primary prospects in PEL 94 - Marula and Welwitschia
Deep - are already defined by existing 3D seismic data and the Company regards
them as drill-ready.

 

The respective discoveries made by the Graff-1 and Venus-1X wells (see
Global's announcements of 7 February and 24 February 2022) have heralded a
major new petroleum province. These discoveries, especially in light of their
reported scale, may be expected to institute a structural change in investor
and industry confidence in Namibian offshore exploration.

Given this, the view of Global and its advisers is that companies,
particularly potential new entrants to Namibia, will need significantly more
time to understand the geology and petroleum systems offshore. As previously
announced, Global believes that there is commonality of both source and
reservoir between the two discoveries and PEL 94.

 

Accordingly, the Company intends to keep under review the PEL 94 farmout
process and, in particular, the timetable, having due regard also to the
flexibility now provided by the licence extension.

 

 

Peter Hill, Global Petroleum's CEO, commented:

 

"We would like to convey our thanks to the Ministry of Mines and Energy in
Namibia for granting the one year extension to the Initial Exploration Period
of PEL 94. This, taken together with the Graff and Venus discoveries, gives
Global significantly increased optionality in relation to its future plans for
PEL 94."

 

 

 

 

 

For further information please visit: www.globalpetroleum.com.au or contact:

 

 Global Petroleum Limited                                            +44 (0) 20 3 875 9255
 Peter Hill, Managing Director & CEO

 Andrew Draffin, Company Secretary

 Panmure Gordon (UK) Limited (Nominated Adviser & Joint Broker)      +44 (0) 20 7886 2500
 John Prior / Ailsa MacMaster

 Corporate Broking: Hugh Rich

 ETX Capital (Joint Broker)                                          +44 (0) 20 7392 1568

 Thomas Smith

 Tavistock (Financial PR & IR)                                       +44 (0) 20 7920 3150

 Simon Hudson / Nick Elwes

 

FURTHER BACKGROUND

TotalEnergies' Venus-1X well and Shell's Graff-1 well are both located in
southern offshore Namibia, approximately 1,000 km to the south of Global's PEL
94 licence. PEL 94 covers an area of 5,798 square kilometres in water depths
ranging from 350 to 1,550 metres, as shown in Figure 1 below.

 

Total drilling depths in PEL 94 are much shallower than is the case for the
Venus discovery, leading to significantly lower drilling and development costs
should operations proceed to this stage. Water depths are approximately 1,000
metres at both the Marula and Welwitschia Deep prospects in PEL 94, against
approximately 3,000 metres at Venus 1-X. The depth to drill from seabed to the
expected prospect depth is around 1,500 metres in PEL 94 compared to over
3,000 metres at Venus-1X.

 

Participating Interests in PEL 94

Global is the operator of the licence and the participating interests are:

 78%  Global Petroleum Namibia Limited (100% owned subsidiary of Global Petroleum
      Limited)
 17%  National Petroleum Corporation of Namibia (Proprietary) Limited
 5%   Aloe Investments Two Hundred and Two (Pty) Ltd ("Aloe", a private Namibian
      company).

 

Farmout

On 9 November 2021 Global announced that it had appointed an advisor, PVE
Consultants, to assist in the farmout of its Licence PEL 94, offshore Namibia.

 

 

 

http://www.rns-pdf.londonstockexchange.com/rns/2346J_1-2022-4-25.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/2346J_1-2022-4-25.pdf)

 

 

 

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