VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 27, 2017) - Africa Energy Corp. (TSX VENTURE:AFE) ("Africa Energy" or the "Company") announces that the joint venture partners in Petroleum Exploration Licence 37 ("PEL 37") have voted to drill the Cormorant Prospect offshore the Republic of Namibia with a target spud date in September 2018.
Africa Energy recently acquired one-third of the shares in a subsidiary of Pancontinental Oil & Gas N.L. ("Pancontinental") that holds a 30% participating interest in PEL 37, providing Africa Energy an effective 10% interest in PEL 37. The Company will pay US$5.5 million to Pancontinental upon spud of the first exploration well to earn a carried interest through the well.
The other participants in the PEL 37 joint venture are Tullow Namibia Limited as operator with a 35% interest, ONGC Videsh Vankorneft Pte Ltd with 30% and Paragon Oil & Gas with 5%. Tullow has commenced the procurement process for drilling, which is subject to Ministry endorsement and entry into the next exploration period.
The Cormorant Prospect is located in the Walvis Basin offshore Namibia in a water depth of approximately 550 meters. The prospect is one in a series of extensive base-of-slope turbidite fan prospects with significant combined resource potential. The fans directly overlie a mature oil-prone source rock of Aptian age that was recently proven by the nearby Murombe-1 and Wingat-1 wells, the latter of which recovered light oil.
Jan Maier, Africa Energy's Vice President of Exploration, commented, "Africa Energy now has at least two high impact exploration wells planned for 2018. The Cormorant Prospect on PEL 37 in Namibia is a basin opening opportunity with substantial resource potential in a province where the hydrocarbons source has already been proven. The prospect is one of several submarine fans mapped by Tullow on high-quality 3D seismic data. Africa Energy is very familiar with these submarine fan play types as our technical team has been instrumental in many fan play discoveries on the West African margin. The recent entry into Namibia by Shell, Total and ONGC demonstrates a renewed interest in this exciting frontier region."
About Africa Energy Corp.
Africa Energy Corp. is a Canadian oil and gas company listed on the TSX Venture Exchange under ticker symbol "AFE". The Company is part of the Lundin Group of Companies and is actively building an exploration and production portfolio across Africa.
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