Europa Oil & Gas (Holdings) Plc (AIM:EOG) traded higher after it received a 12-month extension to the first phase of its EG-08 production sharing contract in Equatorial Guinea.
The extension was granted by the country’s Minister of Hydrocarbons and Mining Development, extending the first sub-period of Phase 1 to 4 October 2026.
"I am pleased to have secured the Ministers approval for this extension, which will provide plenty of time to finalise the farm-out process for EG-08, where we continue to make good progress," chief executive William Holland said.
"Concurrently, the technical team are working on detailed engineering plans for drilling the Barracuda prospect, which we hope to spud in 2026."
Europa holds a 42.9% equity interest in Antler Global Limited, which in turn owns an 80% working interest in the EG-08 PSC. The remaining 20% is held by GEPetrol, Equatorial Guinea’s national oil company.
Formalities to finalise the extension are expected to be completed in the coming days.
In London, Europa shares moved up 2% to 1.2p - after seeing 1.39p in Monday's early exchanges.