Impact Oil & Gas Farms in to South African Offshore Block
Privately-held Impact Oil & Gas Ltd. has entered into an agreement with Silver Wave Energy Pte Ltd. to farm in to Area 2 (ER 12/3/276) located off the coast of South Africa. The terms of the transaction have not been disclosed. Upon completion, Impact Africa Ltd., a wholly-owned subsidiary of Impact Oil & Gas will hold a 90% operated interest in the block, with Silver Wave holding a reduced 10% interest.
Area 2 covers an area of 78,798 sq. km and is located across the Gamatoos, Algoa, and Transkei basins, off the coast of Eastern Cape and Kwazulu Natal provinces. The area has a water depth of 3,000-5,000 meters, and is in the exploration stage, with no drilling having taken place yet. Originally awarded in 2015, the area contains 11 full sub-blocks and eight partial sub-blocks, and has a reported oil & gas initially in place (OGIIP) of 500-1000 million barrels of oil equivalent (MMboe).
On October 20th, Impact had acquired an additional 40% and 35% working interest in ER 12/3/252 (Transkei-Algoa) and ER 12/3/154 (Tugela South) from existing block partners Exxon Mobil Corp. and Equinor ASA, respectively. Impact now holds a 100% operated interest in both the licenses.
“Following Total’s recent successes in the Outeniqua basin, and the upcoming Venus well in Namibia, this acquisition materially increases the company’s presence within an exciting exploration region, as it opens up. The addition of Area 2 to Impact’s Transkei & Algoa and Orange basin deep blocks in South Africa, and blocks 2912 and 2913B in Namibia, delivers a unique and compelling Southern African exploration portfolio,” said Siraj Ahmed, Impact’s CEO.
Woking, England-based Impact currently holds a portfolio of offshore exploration assets in Namibia, South Africa, and AGC (Senegal / Guinea Bissau). Privately-held Silver Wave is engaged in the exploration and production of oil and natural gas properties, and currently holds a portfolio of offshore exploration assets in South Africa.
The transaction is subject to customary closing conditions, including the receipt of South African government approvals.