{"id":11552,"date":"2022-01-10T09:14:36","date_gmt":"2022-01-10T09:14:36","guid":{"rendered":"https:\/\/www.oilnewskenya.com\/?p=11552"},"modified":"2022-01-10T09:23:48","modified_gmt":"2022-01-10T09:23:48","slug":"namibia-south-africa-eco-atlantic-acquires-azinams-asset-base","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/namibia-south-africa-eco-atlantic-acquires-azinams-asset-base\/","title":{"rendered":"Namibia\/South Africa: Eco Atlantic Acquires Azinam’s Asset Base"},"content":{"rendered":"

Highlights<\/span><\/strong>\u00a0<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>Acquisition of a material offshore petroleum exploration asset base in\u00a0Namibia\u00a0and\u00a0South Africa<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>Consideration in the form of new common shares to Azinam Holdings Limited who will own 16.65% of the enlarged Group<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>The Vendor will also be issued warrants in the Company, exercisable only upon a\u00a0<\/span>producible commercial discovery<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>The transaction strengthens the Groups strategic partnership with Africa Energy and Africa Oil<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>Clear drilling programme with an exploration well planned to be drilled on Block 2B –\u00a0South Africa\u00a0in H2 2022<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>The deal is expected to complete by\u00a031 January 2022\u00a0subject,\u00a0inter alia, to<\/span>\u00a0the signing of a Share Purchase Agreement and satisfactory completion of due diligence by Eco and any requisite approvals<\/span><\/p>\n

\u00b7\u00a0\u00a0\u00a0\u00a0<\/span>Discussions are already underway with Eco’s key existing stakeholders in relation to underwriting the funds required to participate directly in the 2022 Block 2B\u00a0South Africa\u00a0drilling programme.<\/span>\u00a0<\/span><\/p>\n

Acquisition<\/span><\/strong>\u00a0<\/span><\/p>\n

Azinam is a wholly owned subsidiary of Azinam Holdings Limited, which is majority owned by Seacrest Capital Group. Azinam has successfully built a material offshore petroleum assets base in Namibia and South Africa. Pursuant to the MOU and subject, inter alia, to the signing of a binding share purchase agreement and completion of the Acquisition, <\/span>Eco Atlantic will issue to the Vendor such number of new common shares in Eco as provides the Vendor with 16.65% of Eco’s share capital as enlarged by such issue, providing for a cashless acquisition to become the sole owner of Azinam’s entire African portfolio.\u00a0<\/span>\u00a0<\/span><\/p>\n

Offshore\u00a0South Africa,\u00a0Orange Basin,\u00a0<\/span>Eco Atlantic will acquire 50% Working Interest (WI) and Operatorship in Block 2B, where Africa Energy Corp. and Panoro Energy ASA maintain Working Interests. Eco will also acquire a material Working Interest of 20% in the deepwater 3B\/4B Block and the shallow water and Nearshore 3B\/4B Blocks where the Company will strengthen its ongoing strategic partnership with Africa Oil Corp. as the Operator and 20% Working Interest partner.<\/span>\u00a0<\/span><\/p>\n

Offshore Namibia, Eco will acquire additional Working Interests in its current oil blocks where Azinam is a partner, being Petroleum Exploration Licenses (PELs) #97, #98 and #99. Eco’s resultant net Working Interest in these PELs will be 85% on completion. Working Interest on these Blocks are the same as its existing interest in PEL #100, and Eco is the Operator on all four PELs.<\/span><\/p>\n

Gil Holzman Co-Founder and CEO of\u00a0Eco Atlantic\u00a0commented:<\/span>\u00a0<\/span><\/p>\n

“We are delighted to update the market on this exciting transaction and welcome the stronger alignment with Africa Oil Corp. and the broader\u00a0Lundin Group\u00a0through direct partnership in Blocks 3B\/4B and 2B<\/span>.\u00a0<\/span>\u00a0<\/span><\/p>\n

“The acquisition strengthens our long-term and strategic position in\u00a0Namibia, giving us 85% and Operatorship in four highly prospective blocks, and gives us added versatility as we look to partner with a major player to help accelerate further exploration activities in the country’s burgeoning energy industry.\u00a0<\/span><\/span>\u00a0<\/span><\/p>\n

“As we have always stated in our corporate strategy, our goal is to build a portfolio that will offer shareholders near-term exposure to high impact drilling catalysts.\u00a0The Azinam acquisition requires no cash funding to close, and positive discussions have been ongoing with Eco’s key existing stakeholders in relation to underwriting the funds required to participate directly in 2022 South Africa drilling activity.\u00a0<\/span><\/span>\u00a0<\/span><\/p>\n

“We anticipate that our<\/span>\u00a0drilling in\u00a0South Africa\u00a0this year will be closely followed by an exploration well in\u00a0Guyana. These activities come at a time when global discovered resources volumes and access to energy in southern\u00a0Africa\u00a0is at an all-time low and hydrocarbons are desperately required as the world navigates the path of successfully achieving the energy transition.\u00a0 We firmly believe that companies such as ours that explore for oil in and around emerging economies will play a vital role in reducing energy poverty.<\/span>\u00a0<\/span><\/p>\n

“We are looking forward\u00a0to commencing with our drilling campaigns\u00a0<\/span>planned in the prospective Block 2B in\u00a0South Africa\u00a0and in\u00a0Guyana\u00a0this year and beyond, and we will continue to further build our corporation to offer additional exploration catalysts as and when we believe these opportunities will be value accretive to our stakeholders.”<\/span><\/p>\n

Colin Kinley, Co-Founder and COO of\u00a0Eco Atlantic\u00a0commented:<\/span>\u00a0<\/span><\/p>\n

“Much of the engineering and geological and geophysical work on the Gazania-1 well has been completed during the past year, so we are stepping into an active plan, which has the potential to offer shareholders additional near term catalysts. We have an experienced team of exploration specialists who are working to finalize the well planning and we benefit from having excellent support from our\u00a0JV Partners\u00a0at Africa Energy from their\u00a0Cape Town\u00a0base. We have already held meetings with the engineering contractor, the\u00a0JV Partners\u00a0and with the proposed rig contractor who currently is holding a slot for us while we seek to conclude the Acquisition and finalise our plans. Block 2B already has a previous light oil discovery – as there was an offsetting strat well, A-J1, drilled in 1988 that proved the presence of high quality oil in the area. We are excited to move ahead on planning the targeted well, having done extensive evaluation of this specific region over the past six years and are familiar and confident with its prospectivity.”<\/span>\u00a0<\/span><\/p>\n

Keith Hill, Non-Executive Director of\u00a0Eco Atlantic\u00a0and CEO of Africa Oil, further commented:\u00a0<\/span>\u00a0<\/span><\/p>\n

“The recent string of industry exploration successes, led by\u00a0Guyana\/Suriname but also in\u00a0Ivory Coast,\u00a0Ghana\u00a0and offshore\u00a0Brazil, has refocused attention on frontier basins in the southern\u00a0Atlantic. With the addition of the Azinam acreage, we now hold some of the highest potential acreage in many of these proven and developing areas.\u00a0\u00a0The Orange Basin\u00a0has two high profile wells currently drilling, namely the TotalEnergies Venus-1 and\u00a0Shell Graff-1 wells, and success in either or both of these wells could make it one of the hottest exploration destinations in the world”.<\/span><\/p>\n

“The Gazania-1 well is planned to be drilled this year on Block 2B in\u00a0South Africa\u00a0in a rift basin that shows remarkably similar characteristics to the\u00a0Lokichar Basin\u00a0in\u00a0Kenya.\u00a0 It’s location in shallow water would facilitate a fast-track development with favourable economics.\u00a0 Africa Oil is very supportive of this acquisition and will actively assist Eco in its near-term exploration and any corporate initiatives.”<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Highlights\u00a0 \u00b7\u00a0\u00a0\u00a0\u00a0Acquisition of a material offshore petroleum exploration asset base in\u00a0Namibia\u00a0and\u00a0South Africa \u00b7\u00a0\u00a0\u00a0\u00a0Consideration in the form of new common shares to Azinam Holdings Limited who will own 16.65% of the … Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":11553,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[7442,7445,11],"tags":[2944,74,8285,274,9998,8287,1675,9513,9996,9994,9995,9997,9999,2371],"class_list":["post-11552","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-countries","category-southern-africa","category-top-news","tag-africa-energy","tag-africa-oil-corp","tag-azinam","tag-block-2b","tag-block-3b-4b","tag-eco-atlantic","tag-namibia","tag-orange-basin","tag-pel-100","tag-pel-97","tag-pel-98","tag-pel-99","tag-seacrest-capital","tag-south-africa","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Eco-Atlantic_Namibia-Licence-Map_July-2021-761x1024-1.png?fit=761%2C1024&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-30k","jetpack-related-posts":[{"id":12072,"url":"https:\/\/www.oilnewskenya.com\/index.php\/eco-atlantic-provides-new-competent-persons-resource-report-on-namibia-and-south-africa-assets\/","url_meta":{"origin":11552,"position":0},"title":"Eco Atlantic Provides New Competent Person’s Resource Report on Namibia and South Africa Assets","author":"","date":"March 21, 2022","format":false,"excerpt":"Eco (Atlantic) Oil & Gas has announced the publication of an updated NI 51-101 compliant Competent Person's Report on its assets Offshore Namibia and Offshore South Africa. The CPR was compiled by WSP USA Inc., of Boulder Colorado, USA, an independent third-party auditor and can be found on the Company's\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Eco-Atlantic_Namibia-Licence-Map_July-2021-761x1024-1.png?fit=761%2C1024&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Eco-Atlantic_Namibia-Licence-Map_July-2021-761x1024-1.png?fit=761%2C1024&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Eco-Atlantic_Namibia-Licence-Map_July-2021-761x1024-1.png?fit=761%2C1024&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Eco-Atlantic_Namibia-Licence-Map_July-2021-761x1024-1.png?fit=761%2C1024&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":11787,"url":"https:\/\/www.oilnewskenya.com\/index.php\/south-africa-eco-atlantic-signs-definitive-share-purchase-agreement-with-azinam\/","url_meta":{"origin":11552,"position":1},"title":"SOUTH AFRICA: Eco Atlantic Signs Definitive Share Purchase Agreement with Azinam","author":"","date":"February 8, 2022","format":false,"excerpt":"Further to the announcement on 10 January 2022, Eco (Atlantic) Oil & Gas Ltd. has confirmed that it has signed a definitive Share Purchase Agreement (SPA) to acquire 100% of Azinam Group Limited in return for a 16.5% equity stake in the Company.\u00a0 The Acquisition is expected to complete in\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Africa-Oil-S.A-Portfolio.jpg?fit=400%2C275&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":14451,"url":"https:\/\/www.oilnewskenya.com\/index.php\/south-africa-namibia-eco-atlantic-reports-transaction-with-africa-oil-corp\/","url_meta":{"origin":11552,"position":2},"title":"SOUTH AFRICA\/ NAMIBIA: Eco Atlantic Reports Transaction with Africa Oil Corp","author":"","date":"July 30, 2024","format":false,"excerpt":"Eco (Atlantic) Oil & Gas has announced\u00a0it has signed an Assignment and Share Cancellation Agreement with\u00a0Azinam Limited,\u00a0Eco's wholly owned subsidiary, Africa Oil Corp. pursuant to which Azinam has agreed to sell and assign a 1% Participating Interest in Block 3B\/4B offshore the\u00a0Republic of South Africa,\u00a0including the associated Exploration Right and\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2024\/07\/Africa-Oil-Assets.png?fit=460%2C521&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":12015,"url":"https:\/\/www.oilnewskenya.com\/index.php\/south-africa-eco-atlantic-completes-acquisition-of-azinam\/","url_meta":{"origin":11552,"position":3},"title":"SOUTH AFRICA: Eco Atlantic Completes Acquisition of Azinam","author":"","date":"March 11, 2022","format":false,"excerpt":"Eco (Atlantic) Oil & Gas Ltd. has confirmed that it and Azinam Group Holdings (Azinam) have completed all conditions required to be completed in order to close Eco's acquisition of Azinam save and accept for receipt of the final approval of the TSX Venture Exchange. As disclosed in the Company's\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/08\/South-AfricaTranskei-Algoa.jpg?fit=602%2C320&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/08\/South-AfricaTranskei-Algoa.jpg?fit=602%2C320&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/08\/South-AfricaTranskei-Algoa.jpg?fit=602%2C320&ssl=1&resize=525%2C300 1.5x"},"classes":[]},{"id":11949,"url":"https:\/\/www.oilnewskenya.com\/index.php\/south-africa-eco-atlantic-signs-rig-contract-for-block-2b\/","url_meta":{"origin":11552,"position":4},"title":"SOUTH AFRICA: Eco Atlantic Signs Rig Contract for Block 2B","author":"","date":"March 3, 2022","format":false,"excerpt":"Eco (Atlantic) Oil & Gas has announced that the Joint Venture partnership of Block 2B, offshore\u00a0South Africa, has entered into a drilling contract for the Island Innovator semi-submersible rig with Island Drilling Company AS for the upcoming drilling of the Gazania-1 well.\u00a0 The Block 2B JV partners are Africa Energy,\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":12153,"url":"https:\/\/www.oilnewskenya.com\/index.php\/south-africa-eco-atlantic-deposits-20m-as-capex-for-the-gazania-1-well-on-block-2b\/","url_meta":{"origin":11552,"position":5},"title":"SOUTH AFRICA: Eco Atlantic Deposits $20M as Capex for the Gazania-1 well on Block 2B","author":"","date":"April 21, 2022","format":false,"excerpt":"Africa Energy Corp. has reported that Eco (Atlantic) Oil & Gas Ltd. has deposited approximately US$20 million\u00a0in escrow to support its capital expenditure requirements for the Gazania-1 well on Block\u00a02B\u00a0offshore\u00a0South Africa after closing the acquisition of Azinam Group Limited. Garrett Soden, Africa Energy's President and CEO, commented, \"We are excited\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/SOUTH-AFRICA-AREA-2.jpg?fit=745%2C422&ssl=1&resize=700%2C400 2x"},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/11552","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=11552"}],"version-history":[{"count":1,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/11552\/revisions"}],"predecessor-version":[{"id":11554,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/11552\/revisions\/11554"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/11553"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=11552"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=11552"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=11552"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}