Afentra, a UK oil and gas firm, is in discussions to increase its stake in two Angola offshore blocks, blocks 3/05 and 3/05A, by acquiring interests from Etu Energias. The deal is contingent on various approvals, and the company reports significant reserves and ongoing redevelopment efforts with its joint venture partners.
Afentra, a UK-based and AIM-listed upstream oil and gas company, announced its acknowledgment of media speculation regarding its intention to increase its stake in two offshore blocks in Angola. The company, alongside a joint venture partner, is in discussions to acquire the interests of another partner, Etu Energias, in blocks 3/05 and 3/05A.
These blocks contain stakes of 10% and 13.5%, respectively. Afentra noted that there is no guarantee that the acquisition of these interests will occur. Should it proceed, the company intends to use its existing cash resources to finance the transaction, which will also depend on customary conditions such as regulatory and governmental approvals.
As part of their ongoing strategy, Afentra continues to collaborate with Sonangol, the operator of Blocks 3/05 and 3/05A, on a redevelopment plan aimed at enhancing production and reserves. The company expressed satisfaction with the progress made in this collaborative effort.
According to recent disclosures, the estimated total net 2P working interest reserves for Block 3/05 are 34.2 million barrels of oil (mmbo) as of December 2024. Afentra has reported a reserve replacement ratio of 140% over 18 months, contributing to an increase in contingent resources to net 2C resources of 13.8 mmbo for Block 3/05A.
Block 3/05 includes eight mature producing fields initially discovered by Elf Petroleum in the 1980s, currently producing from approximately 40 wells. Moreover, the National Agency for Oil, Gas, and Biofuels (ANPG) states that Angola has 30 investment opportunities in the oil sector, covering various blocks and fields
In summary, Afentra is actively pursuing an increase in its stake in offshore Angola by potentially acquiring interests from Etu Energias while continuing its redevelopment efforts in collaboration with Sonangol. With substantial oil reserves and ongoing investments in the region, the company remains committed to enhancing production and unlocking further value from its assets.
Original Source: www.offshore-energy.biz
