Serinus Energy PLC (AIM:SENX) shares rose around 16% in Tuesday’s early deals after the micro-cap explorer announced its participation in Angola’s onshore licensing round – in which it’s been named preferred bidder for the KON-13 Block.
KON-13 covers 1,011 square kilometres within the Kwanza basin, including some heritage oil and gas acreage (covered by legacy 2D seismic and host to a 1969 exploration well).
The company, in a statement, described the project area as “under-explored and under exploited”, noting that activity in the basin was halted in the past for the duration of the Angolan Civil War (which spanned 1975 to 2002).
Serinus added: “The company sees this basin as attractive for further exploration and development activities.”
In the statement, the company noted that it has been selected as the preferred operator of the KON-13 block with an allocated working interest of 55%. It will be partnered by Effimax Energy (with 30%) and Angola's national oil company, Sonangol (15%).
The company now expects to engage with Angola’s petroleum authority, Agência Nacional De Petróleo, Gás E Biocombustíveis (ANPG), to negotiate the licence terms on the block.
It added that the negotiations are expected to be carried out over the next several months.
In London, Serinus shares moved 16% higher to change hands at 2.9p each, valuing the company at just over £3.2 million.