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    UK's Impact Farms into SA Offshore Block

Summary

Area 2 lies within the Southern African Aptian deepwater oil and gas play.

by: Shardul Sharma

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Natural Gas & LNG News, Africa, Corporate, Mergers & Acquisitions, Exploration & Production, Investments, News By Country, South Africa

UK's Impact Farms into SA Offshore Block

Privately-owned Africa-focused Impact Oil & Gas has reached an agreement with Silver Wave Energy to farm in for a 90% interest in and operatorship of Area 2 offshore South Africa, Impact said on November 2.

“Being immediately east and adjacent to Impact’s Transkei & Algoa blocks, Area 2 compliments Impact’s existing position by extending the entire length of the ultra-deepwater part of the Transkei margin,” the company said. Together, the Transkei & Algoa blocks and Area 2 cover over 124,000 km2.

Area 2 lies within the Southern African Aptian deepwater oil and gas play, stretching from northernmost Namibia, around Cape Agulhas and the Transkei margin, to the Durban basin in the north-east. “This play has been opened by the Brulpadda and Luiperd discoveries in the Outeniqua Basin and will be further tested during 2021 by the well on the giant Venus prospect in ultra-deep-water Namibia, where Impact is a substantial partner,” the company said.

The transaction will need approval from South Africa's government to be concluded. Silver Wave will retain a 10% interest in the project.

Impact acquired its first asset offshore South Africa in 2011 and has subsequently expanded its asset base across the offshore margins of Southern and West Africa. It is partnered with China's Cnooc at AGC (between Senegal and Guinea Bissau) and with Total in Namibia and South Africa. The company’s current portfolio covers a combined area of over 200,000 km².