Europa Extends EG-08 Interest Transfer Deadline to September 30

en.Wedoany.com Reported - On September 1, Europa Oil & Gas provided an update on the progress of the interest transfer for the EG-08 block offshore Equatorial Guinea, extending the final completion deadline for the transaction between its affiliate Antler Global and Fuhai (Beijing) Energy from August 31 to September 30.

Antler and Fuhai signed a binding interest transfer agreement in December 2025, under which Fuhai intends to acquire a 40% working interest in the EG-08 production sharing contract. Upon completion of the transaction, Antler will retain a 40% working interest and continue to serve as operator of the block, Fuhai will hold 40%, and GEPetrol, the national oil company of Equatorial Guinea, will hold the remaining 20%. Europa holds a 42.9% equity stake in Antler, giving it an indirect interest of approximately 17.16% in the EG-08 block. Following the approval of outbound investment by Chinese authorities, Fuhai will also need to formally join the EG-08 production sharing contract and the joint operating agreement.

The transaction conditions between the two parties are directly linked to the Barracuda exploration well. Under the interest transfer agreement, Fuhai will bear 95% of the drilling and testing costs for the Barracuda well, funded by Fuhai up to a total well cost cap of $53 million, with Antler covering the remaining 5%; any cost overruns exceeding the $53 million cap will be shared equally between Fuhai and Antler.

Europa still plans to drill the Barracuda-1 well in early 2027. The EG-08 block covers an area of approximately 731 square kilometers and is located in the Douala Basin, with Barracuda being the first major target planned for drilling in the block. The company's latest technical data estimates the block's average prospective resources of natural gas and condensate at 2.213 trillion cubic feet equivalent, of which Barracuda accounts for approximately 893 billion cubic feet equivalent of average prospective resources. The target area has a water depth of approximately 80 meters, with reservoir targets at a depth of approximately 2,800 meters, and drilling is planned using a jack-up rig.