Eco (Atlantic) Oil & Gas Limited (LON:ECO) is confident Total will exercise its option to farm-in to the Orinduik Block offshore Guyana.
Orinduik is next door to ExxonMobil’s Starbroek block, where 4bn barrels of oil have been discovered so far.
READ: Eco Atlantic Oil & Gas PLC to meet with public next month to discuss drill plans in Namibia
Eco has completed a 3D seismic over its acreage and is discussing the final interpretation of the results with Total, said Gil Holzman, chief executive.
Holzman added results for 2018 were the best yet for the AIM-listed group, with assets jumping to C$16mln (C$8.8mln) and cash holdings now at C$14.3mln following the subscription from Africa Oil (C$14mln).
If Total exercises its option, this would add a further US$12.5mln to the balance sheet and introduce a 'super-major' as our partner, Holzman added.
Elsewhere, activity has increased markedly in Namibia recently, especially in the Walvis Basin where it holds four prospective licences.
Two wells are scheduled to be drilled this year by other operators in the region and the results of these wells will add a significant amount to the overall understanding of the blocks held by Eco, said Holzman.
Losses for the year to March were C$8.4mln (C$3.56mln).