Impact Oil & Gas prepares to sell stake in Namibian offshore block - sources

Meren Energy

06/06/2022 12:52

By Ron Bousso
    LONDON, June 6 (Reuters) - Impact Oil & Gas is considering
selling its 20% stake in a large block in deep water off the
coast of Namibia where TotalEnergies  TTEF.PA  made a
significant oil discovery this year, four industry sources told
Reuters.
    Impact, which is privately owned and focused on exploration
in Africa, has hired investment bank Jefferies to prepare a sale
process for its stake in Block 2913B, which is estimated to be
worth $500 million to $1 billion, the sources said.
    TotalEnergies, which operates the field, said in February it
made the discovery in the Venus-X1 well, the second offshore
find this year in the southern African country which hopes to
become the continent's newest oil producer.  urn:newsml:reuters.com:*:nL1N2UZ0ND
    Impact Oil & Gas, whose investors include Toronto-listed
Africa Oil  AOI.TO  and South Africa-based Hosken Consolidated
Investments  HCIJ.J , did not respond to a request for comment. 
    Jefferies declined to comment.
    The discovery comes at a crucial moment for global energy
markets as oil and gas prices rocketed after Russia's invasion
of Ukraine on Feb. 24, leading many Western governments to ban
Russian oil imports.  O/R 
    TotalEnergies Chief Executive Patrick Pouyanne said last
month that the company had moved forward the field's appraisal
drilling schedule to August after which the partners will have a
better idea of its size, development potential and costs.
    Impact is currently in talks with investors to raise up to
$100 million to fund the appraisal, the sources said.
    But at the same time, the company is preparing to launch the
sale process for its stake and has already held early
discussions with several potential buyers, the sources said.    
    TotalEnergies holds a 40% working interest in Block 2913B
alongside QatarEnergy with 30%, Impact Oil & Gas on 20% and
Namibian state-owned oil company NAMCOR with 10%.
    

 (Reporting by Ron Bousso; Editing by David Clarke)
 ((ron.bousso@thomsonreuters.com; +44 (0) 2075422161; Reuters
Messaging: ron.bousso.reuters.com@reuters.net))