88 Energy Ltd (AIM:88E, ASX:88E, OTCQB:EEENF, FRA:POQ) announced it has secured its 20% working interest in Namibia’s PEL 93 on an unconditional basis while cutting about $15 million of minimum future funding exposure under an amended farm-in agreement.
The AIM- and ASX-listed explorer said the revised deal with operator Monitor Exploration cancels Stage 2 and Stage 3 farm-in obligations, removes reassignment risk and simplifies the original commercial structure.
88 Energy said the new framework preserves its exposure to a potentially basin-opening onshore Namibia play while allowing management to maintain focus on its priority Alaskan assets.
The company also retains an option to increase its interest in PEL 93 and said future funding routes could include direct third-party participation or the creation and public listing of a Namibia-focused entity to hold joint interests in the licence.
Monitor has completed an integrated interpretation of airborne gravity, magnetic and radiometric survey data over PEL 93, alongside historical 2D seismic, passive seismic, soil gas sampling and remote sensing data.
88 Energy said the work had improved structural definition across the block and confirmed Lead 9 as a priority future drilling candidate.
Regional activity is also building, with ReconAfrica progressing production testing at the Kavango West-1X discovery in adjacent PEL 73. 88 Energy said success there would represent a basin-opening event with direct positive implications for PEL 93.