Africa Oil Corp (TSX:AOI) has noted that its investee company, Impact Oil & Gas Limited, will be imminently commencing a multi-well appraisal and exploration drilling program in Namibia, following the Venus light oil discovery in Block 2913B (PEL 56).
The Venus discovery is a world-class light oil and associated gas field, located in the Orange Basin, approximately 290 kilometres off the coast of southern Namibia, and in water depth of approximately 3,000 metres (m). The well was drilled to a total depth of 6,296m, by the Maersk Voyager drillship, and encountered a high-quality light oil-bearing sandstone reservoir of Lower Cretaceous age.
In a statement, Africa Oil president and CEO Keith Hill commented: "The Venus discovery, which according to Wood Mackenzie was the world's largest oil discovery in 2022, has opened up the Orange Basin as a world-class petroleum province. I am delighted that we are at the forefront of this exciting play through our shareholding in Impact, and a 20% operated interest in Block 3B/4B that lies on trend with the Venus structure."
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"We are the only publicly listed independent oil and gas company with an interest in Venus, and our material Orange Basin acreage presents a very attractive opportunity for investors looking for an exposure to its potentially transformational upside," Hill added.
Africa Oil holds a 30.9% shareholding in Impact.
In an announcement, Impact said that the multi-well programme in Namibia is due to commence before the end of February, targeting up to four wells (including the re-entry of the Venus-1X discovery well, in Block 2913B), to appraise the Venus discovery and to investigate a potential westerly extension of Venus, the Nara prospect (formerly referred to as West Venus) on Block 2912.
Venus-1A, on Block 2913B, will be the first well to be drilled, using the Tungsten Explorer drillship, and is the first appraisal well on the Venus discovery. This will be followed by a drill stem test using the Deepsea Mira.
Upon completion of the Venus-1A drill stem test, the Venus-1X exploration well, also on Block 2913B, will be re-entered and side-tracked using the Deepsea Mira to conduct a second drill stem test.
Nara-1X, an exploration well on Block 2912, will then be drilled and potentially flow tested by the Tungsten Explorer. If Nara-1X proves successful, the Nara-1A appraisal well could then be drilled in Block 2912 and flow tested.
Impact holds a 20% working interest in Block 2913B (PEL 56) and an 18.89% working interest in the adjacent Block 2912 (PEL 91).
Results date
In a separate statement, Africa Oil said it will publish its financial and operating results and related management's discussion and analysis for the three months and 12 months ended December 31, 2022, after the Toronto market close on Monday, February 27, 2023.
A conference call will be held to discuss the results on Tuesday, February 28, 2023, at 9.00am Eastern Time that can be accessed via webcast or by dialling in. Participants can register for the webcast at https://onlinexperiences.com/Launch/QReg/ShowUUID=F1BAFF1F-6862-4C78-9281-D20467A0B44F or join the call by telephone with the instructions available at https://register.vevent.com/register/BI6b5af2d6ec854982851dad879ccef82c.
Africa Oil is a Canadian oil and gas company with producing and development assets in deepwater Nigeria; development assets in Kenya; and an exploration/appraisal portfolio in West and South Africa, as well as Guyana.
Contact the author at jon.hopkins@proactiveinvestors.com