en.Wedoany.com Reported - Eco (Atlantic) Oil & Gas Ltd. announced mid-term progress across its asset portfolio in Namibia, Guyana, the Falkland Islands, and South Africa, with multiple work programs underway.
Since early 2026, Eco Atlantic has significantly strengthened its portfolio by bringing in major industry partners and advancing strategic block transfer transactions. The company holds extensive exploration opportunities across multiple basins, with most costs covered by partners through upcoming work programs, while maintaining a strong cash position.
In Namibia, the block transfer agreements with BP Namibia Energy Ltd, a wholly owned subsidiary of BP Exploration Operating Company Limited, for PEL97, PEL99, and PEL100 are progressing, with completion expected in the third quarter of 2026. Upon transaction completion, BP will pay Eco a cash consideration of $2.7 million. During the current exploration phase, BP will cover all costs for Eco's retained 25% interest and Eco's pro-rata share of NAMCOR (10%) and local partner (5%) interests, with a maximum total carry consideration of $63 million payable for Eco's interest. Eco continues to collaborate with partners to prepare for large-scale exploration work, including completing seismic data reprocessing for PEL97 and conducting a large 3D seismic survey exceeding 3,000 square kilometers over PEL99 and PEL100. The company expects to receive government approval for the transfer of PEL98 to Lamda Energy (Pty) Ltd in the third quarter of 2026.
In Guyana, Eco and strategic partner Navitas Petroleum LP have applied for new evaluation and exploration licenses for the Orinduik Block and are currently engaged in in-depth production sharing agreement negotiations with Guyana's Ministry of Natural Resources for the new license, expected to be completed in the third quarter of 2026. Under the previous agreement, Eco's remaining 20% working interest in work conducted on the new block is carried by the partner, capped at $11 million net to Eco.
In the Falkland Islands, Eco is awaiting final approval from the Falkland Islands Government for a five-year license extension and Navitas's operatorship of the PL001 license. Approximately 40 prospects and leads have been identified in the license area, with independent auditor NSAI certifying that just 15 prospects hold potential resources exceeding 1.4 billion barrels of oil. Eco's net potential resources corresponding to its expected interest in PL001 amount to 490 million barrels of oil. Eco and incoming operator Navitas continue to advance technical assessments of prospects, focusing on high-impact drilling opportunities. The block is adjacent to the Sea Lion field development project, enabling development synergies through existing infrastructure. Eco noted Navitas's signing of a memorandum of understanding for an additional optional FPSO adjacent to the Sea Lion field development project, which could add 125,000 barrels per day to the project's planned initial capacity of 55,000 barrels per day.
In South Africa, for Block 3B/4B, Eco is awaiting a decision from the Department of Forestry, Fisheries and the Environment on the environmental impact assessment process for drilling permits. The company has secured a fully carried cost position by partners for the first two exploration wells in the block, up to $11.5 million. For Block 1 CBK, Navitas's entry is progressing, with regulatory administrative processes advancing to complete the transaction, after which Eco will receive a cash payment of $4 million. Eco noted the South African government's renewed focus on supporting the development of local oil and gas resources against the backdrop of declining domestic gas supply and the country's need to reduce reliance on coal.
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