Eco (Atlantic) Oil & Gas, the oil and gas exploration company focused on the offshore Atlantic Margins, has announced that on 1 October 2026, it received formal Ministerial approval from the Honourable Minister of Industries, Mines and Energy of Namibia for the transfer and assignment, relating to the Company's previously announced farm down of a 60% Participating interest in all three of its Petroleum Exploration License offshore Namibia to BP Namibia Energy, a wholly owned subsidiary of BP Exploration Operating Company.
Further to the announcement on 13 April 2026 regarding the Farmout Agreement, Eco, through its wholly owned subsidiaries: Azinam Group Limited, Eco Oil & Gas Namibia (Proprietary) Limited ('Eco Namibia') and Eco Oil & Gas Services (Proprietary) Limited ('Eco Services') have agreed to farm out an aggregate of 60% of its Participating Interest, transferring Operatorship to BP in respect of Block 2012A PEL97 ('Cooper License'), Blocks 2111B and 2211A PEL99 ('Guy License') and Blocks 2211B and 2311A PEL100 ('Tamar License'). The Ministerial approval represents the final governmental consent required under Section 11 of Namibia's Petroleum (Exploration and Production) Act for the transfer and assignment of a 60% Participating Interest in PELs 97, 99 & 100 from Eco to BP. Following receipt of this final Ministerial approval, the parties are now completing the remaining closing deliverables, and completion is expected shortly. A further announcement will be made on completion.
The Transaction enables the Joint Venture to embark on a comprehensive exploration work program, and the Company to substantially reduce its funding exposure while retaining material upside exposure to the licenses and introduces a major international operator to progress the Blocks’ exploration activities. Eco intends to use the cash proceeds of the Transaction to support the Company’s ongoing growth through exploration and appraisal activities across its Atlantic Margin portfolio and for general working capital purposes.
Gil Holzman, President and Chief Executive Officer of Eco Atlantic, commented:
'Securing final regulatory approval for the farm down of our Namibian portfolio to BP is a significant milestone for Eco and brings us towards completing this landmark transaction.
'We are grateful to Her Excellency the President of the Republic of Namibia and the Namibian authorities, particularly the Ministry of Industries, Mines and Energy and the Upstream Petroleum Unit, for their efficient, professional and collaborative approach, which enabled the approval process to progress within the anticipated timeframe. We also thank BP, NAMCOR and our local partners for their continued cooperation and support throughout the process.
'With final regulatory approval now secured, we will complete the remaining closing formalities as swiftly as possible and look forward to moving full steam ahead with BP, NAMCOR and our local partners into the next phase of exploration across these highly prospective Walvis Basin licences.
'With our significant South Africa and Namibia transactions now successfully progressed, our focus turns to delivering the remaining key milestones across the portfolio, including finalising our PSA negotiations in Guyana and completing the JHI acquisition announced earlier this year.'
Source: Eco (Atlantic) Oil & Gas
