REG - Westmount Energy Ld - Africa Oil Corp. update

Westmount EnergyAnnouncement

08/02/2024 13:45

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RNS Number : 5329C  Westmount Energy Limited  08 February 2024

8 February 2024

WESTMOUNT ENERGY LIMITED

("Westmount" or the "Company")

Namibian exploration and appraisal program - Africa Oil Corp update

·      Mangetti-1X encounters hydrocarbons at both objectives

 

·      Drilling of Venus-2A underway, the fourth appraisal well on the
giant Venus discovery

·      Continuing aggressive exploration and appraisal program in 2024

 

Westmount Energy Limited (UK AIM: WTE.L, USA OTCQB: WMELF), the AIM-quoted oil
and gas investing company focussed on high impact drilling outcomes in
emerging basins, notes the update provided this morning by its investee
company Africa Oil Corp. ("AOC"; TSX: AOI.TO, Nasdaq Stockholm: AOI.ST) with
respect to exploration and appraisal activities on Block 2913B, in the Orange
Basin, offshore Namibia. The update highlights the prolific nature of the
Orange Basin hydrocarbon system with hydrocarbons now demonstrated to be
present at two separate stratigraphic levels within Block 2913B. Mangetti-1X,
a dual objective exploration and appraisal well, encountered
hydrocarbon-bearing intervals in the shallower Mangetti Fan prospect, opening
a new play fairway, while also successfully intersecting and appraising the
northern area of the deeper Venus discovery. Mangetti-1X has the potential to
boost the existing recoverable resource base on Block 2913B and the joint
venture partners are now considering the next steps in the evaluation program.
 

The update also confirms that the drilling of Venus-2A, the fourth appraisal
well on the giant Venus discovery, is underway using the Deepsea Mira rig. In
addition, the acquisition of a 3D seismic program in the southern part of
Block 2913B is progressing with a view to highgrading additional exploration
targets for drilling.

 

AOC is a publicly listed Independent E&P company with producing and
development assets in deep-water Nigeria and a portfolio of exploration and
appraisal assets, located offshore west and south Africa as well as offshore
Guyana. AOC holds its interests through direct ownership interests in
concessions and through its shareholdings in private and publicly listed
investee companies, including: Prime Oil & Gas Coöperatief U.A.; Impact
Oil & Gas Ltd.; Africa Energy Corp.; and Eco (Atlantic) Oil and Gas Ltd.
Up to date detailed disclosure with respect to AOC's overall strategy,
portfolio of assets, production guidance, dividend and shareholder return
policies is available via its 'Report to Shareholders for the Period Ended
September 30, 2023'
https://africaoilcorp.com/site/assets/files/1856/2023-aoi-q3.pdf
(https://africaoilcorp.com/site/assets/files/1856/2023-aoi-q3.pdf) Other more
recent and historical disclosures are available on its website
www.africaoilcorp.com (http://www.africaoilcorp.com) .

 

AOC currently has an effective interest of 6.2% in Blocks 2913B and 2912 as a
result of its 31% shareholding in Impact Oil & Gas Limited(1). Westmount's
holding of 300,000 shares in AOC, represents approximately 0.065% of the
issued common shares in AOC as of 31(st) January 2024. This investment
provides liquid exposure to the ongoing testing program of the significant
Venus light oil discovery on Block 2913B in addition to the  evaluation of
other giant exploration targets on the block.

 

Gerard Walsh, Chairman of Westmount Energy Ltd. commented:

"Today's positive update by our investee AOC confirms our view that the Orange
basin is a major emerging, prolific, hydrocarbon province which offers
Westmount shareholders continuing exposure to high impact exploration and
appraisal drilling outcomes. We also note the commentary provided yesterday at
the TotalEnergies 2023 Results and 2024 Objectives presentations(2), with the
operator of the giant Venus Discovery indicating that the appraisal program
and development planning was now focussed on the optimisation of the location
of the first Development FPSO with respect to reservoir sweet spots in terms
of permeability and productivity. In addition, the operator signalled a
continuing aggressive exploration and appraisal program in 2024, with a
Namibian E&A budget of circa $300M, and with another potential exploration
drilling target already identified to the south of Venus. So an exciting
program of drilling and testing lies ahead and we look forward to further
newsflow in this regard."

 

 

(1)Upon completion of the transaction announced by AOC on the 10(th) January
2024, AOC's effective interest in Blocks 2913B and 2912 will reduce to 2.95%
and Impact Oil & Gas Limited will retain a 9.5% interest in Blocks 2912
and 2913B that is fully carried for all joint venture costs, with no cap,
through to first commercial production.

https://africaoilcorp.com/news/africa-oil-announces-strategic-farmout-of-impacts-122899/
(https://africaoilcorp.com/news/africa-oil-announces-strategic-farmout-of-impacts-122899/)

 

(2)https://totalenergies.com/sites/g/files/nytnzq121/files/documents/2024-02/TotalEnergies_2023_Results_and_2024_Objectives_presentation.pdf
(https://totalenergies.com/sites/g/files/nytnzq121/files/documents/2024-02/TotalEnergies_2023_Results_and_2024_Objectives_presentation.pdf)

 

 

For further information, please contact:

 

 Westmount Energy Limited                                        www.westmountenergy.com (http://www.westmountenergy.com)
 David King, Director                                            Tel: +44 (0) 1534 823000

                                                                 email: westmountenergy@stonehagefleming.com
                                                                 (../../../../DATA%20STORAGE%20DC/160505_Dermot%20Backup/DErmot/Westmount%20Project/Namibia/Africa%20Oil%20Corp/westmountenergy@stonehagefleming.com)

 Cavendish Capital Markets Limited (Nomad and Broker)
 Neil McDonald/Peter Lynch                                       Tel: +44 (0) 20 7397 8900

 (Corporate Finance)

 

 

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