Panoro Energy has said that following its lifting of 745,000 barrels of oil at Block G offshore Equatorial Guinea in July and receipt of its related payment in excess of USD 80 million, cumulative net cash flow generated from Panoro\u2019s production entitlement at Block G has exceeded the upfront acquisition cost of USD 94 million.<\/p>\n
Panoro completed the acquisition of its 14.25 percent non-operated participating interest in Block G, which holds the producing Ceiba and Okume Complex fields, in March 2021. Panoro\u2019s net working interest production at Block G in the first half of 2022 averaged 4,714 barrels oil per day, representing approximately 60 percent of the Company\u2019s total reported production. Panoro\u2019s net 2P reserves attributed to Block G at 31 December 2021 stood at 13.2 million barrels.<\/p>\n
In May 2022 the Ministry of Mines and Hydrocarbons of Equatorial Guinea and the Joint Venture partners at Block G agreed a material time extension of the Production Sharing Contract until end 2040 covering both the Ceiba and Okume Complex fields.\u00a0 Management expects that Panoro\u2019s net 2P reserves will increase by between two to three million barrels as a result of the PSC extension which also supports the next phase of planned investment by the Joint Venture partners with a three well production drilling campaign due to commence in the second half of 2023.<\/p>\n