South Africa renews Kinetiko's exploration rights
Petroleum Agency of South Africa has granted Afro Energy, a unit of Sydney-listed Kinetiko Energy, renewals on exploration rights 270 and 272, Kinetiko said on February 20.
The renewals covering an area of approximately 3,135 km2 represent a substantial portion of the company’s current exploration rights and support the majority of the planned exploration activities of 2023, Kinetiko said.
“Following the Minerals and Petroleum Resources Development Act of 2002 (MPRDA) Section 81:(4), under which the company is entitled to continue with exploration and appraisal operations, the renewals granted are for the first of potentially three renewal periods of two years. The company intends to apply for production rights in the near future over these exploration rights which would be valid for an initial period of 30 years,” the company said.
Kinetiko is an Australian gas explorer focused on advanced shallow conventional gas and coalbed methane opportunities in Southern Africa. It signed an agreement in December 2021 to acquire 100% of Afro Energy from Badimo Gas. Kinetiko originally owned 49% of Afro, which holds the South African exploration rights and production approvals linked to its assets.