Africa Oil Corp (TSX:AOI) has confirmed it has now completed its transaction with exploration partner Eco (Atlantic) Oil & Gas, to acquire an additional stake in the Block 3B / 4B asset in the Orange Basin, offshore South Africa.
The company now acquires the agreed 6.25% stake, taking its position in the project to 26.25%, alongside Eco which retains 20% and South African partner Ricocure which has a 53.75% interest.
It comes as the South African authorities approved the deal.
Africa Oil now pays Eco a further $2.5 million for the deal, following an initial $2.5 million payment and potentially followed by a further $5.5 million in contingent payments linked to project milestones.
A new round of partnering, meanwhile, follows with the three partners in the project jointly seeking to farm-out up to 55% of the venture as they plan to advance towards exploration drilling.