GABON: Block Energy Expands with Strategic Entry into Gulf of Guinea Oil Sector

Block Energy plc has announced a major strategic expansion into offshore Gabon, marking a significant milestone in the company’s growth plans and highlighting renewed investor confidence in Gabon’s petroleum sector.

The London-listed energy firm revealed that, following the close of its 2025 financial year, it secured a strategic entry into offshore Gabon through a convertible loan agreement with Pilgrim Exploration Limited. The transaction provides Block Energy with a 76.5 percent indirect economic interest in the Ndjila (CD2) and Mpari (CD3) Production Sharing Contracts (PSCs), located within the prolific Gulf of Guinea hydrocarbon basin.

The offshore blocks cover approximately 5,331 square kilometres and contain four historical oil discoveries: Iguega, Topaz, Ekouata and Pilote. In addition to these discoveries, the acreage is believed to hold substantial pre-salt and post-salt exploration potential, positioning the assets among the most promising offshore opportunities in the region.

The Gulf of Guinea remains one of Africa’s most important oil-producing regions, attracting continued interest from international energy companies due to its significant reserves, established infrastructure and favourable geological conditions. Block Energy’s entry into Gabon reflects growing confidence in the country’s offshore petroleum industry and its potential to deliver future production growth.

According to Block Energy Chief Executive Officer Paul Haywood, the Gabon investment represents a key component of the company’s long-term growth strategy.

“Our entry into offshore Gabon opened a new front for the Company in an established Gulf of Guinea hydrocarbon fairway,” said Haywood. “The Ndjila and Mpari PSCs bring meaningful historical discoveries, material exploration upside and a clear route to asset-level financing.”

The company believes the Gabon assets offer a balanced combination of known discoveries and high-impact exploration prospects, reducing risk while creating opportunities for substantial value creation. The project is expected to complement Block Energy’s existing production portfolio and provide a platform for future expansion across West and Central Africa.

To support the acquisition and planned exploration activities, Block Energy successfully completed a share placing and retail offer after the year-end period, raising approximately US$6.3 million before expenses. The funding will help finance the company’s initial technical work programme and advance evaluation of the offshore acreage.

Looking ahead, Block Energy has identified the launch of the Gabon technical programme as one of its key priorities for 2026. The programme will focus on evaluating existing discoveries, refining geological models and identifying opportunities for appraisal drilling and future development.

The announcement reinforces Gabon’s position as an attractive destination for international energy investment. With established offshore discoveries, supportive petroleum policies and continued exploration activity, the country remains a strategic hub within Africa’s energy landscape.

Industry observers note that new investments such as Block Energy’s could contribute to increased exploration activity, technology transfer and long-term economic benefits for Gabon as the country seeks to maximise the value of its offshore hydrocarbon resources.