88 Energy Ltd (listed on AIM, ASX, and OTC as 88E, EEENF respectively) has announced its expansion and diversification plans, following approval for its initial investment in Namibia.
The company stated that the Namibian Ministry of Mines and Energy has approved the transfer of a 20% working interest in the onshore Petroleum Exploration Licence 93 (PEL 93) in the Owambo Basin.
This approval marks the first phase of a three-stage farm-in agreement that could lead to 88 Energy acquiring up to a 45% stake in a large exploration project, covering approximately 18,500 square kilometers.
In the first stage, 88 Energy will invest an initial $0.7 million, with a subsequent commitment of $3 million for the 2024 work program. This program will include gathering 2D seismic data.
The company highlighted Namibia as one of the remaining oil and gas frontiers with the potential for multi-billion barrel discoveries, as demonstrated by recent offshore findings.
The company further elaborated: “The upcoming work program will commence with a 200-line km 2D seismic survey focused on validating the structure of 10 identified independent leads.”
The seismic survey is scheduled for mid-2024, following a period dedicated to planning, public consultation, updating environmental compliance, and securing necessary approvals.
In addition, investors are keenly anticipating the results of upcoming well tests in Alaska.
