(Eco (Atlantic), 21.Mar.2022) — Eco (Atlantic) Oil & Gas Ltd. (AIM:ECO, TSX ‐ V:EOG) announced publication of an updated NI 51-101 compliant Competent Person’s Report (“CPR”) on its assets Offshore Guyana, Offshore Namibia and Offshore South Africa. The CPR was compiled by WSP USA Inc., of Boulder Colorado, USA, an independent third-party auditor and can be found on the company’s website.
The new CPR incorporates the increased interests in its Namibian assets and the additional two blocks offshore South Africa resulting from the acquisition of Azinam Group Limited as announced on 11 March 2022. All contractual and legal conditions required for completion have occurred save for final approval from the TSX Venture Exchange, which is expected to be received imminently. The CPR has been prepared on the basis that the acquisition of Azinam has completed.
Summary of Unrisked Prospective Resource Estimates (Oil)
Summary of Unrisked Prospective Resource Estimates (Gas)
Source: Letha C. Lencioni, WSP USA Inc
Gustavson Associates LLC, who completed the last CPR in January 2020, is now a part of WSP USA.
Note: Assets designated as “Lower Risk” have probability of success (POS) estimated at 16%-81%, while those designated as “Higher Risk” have POS estimated at 2%-3.5%. “Operator” is name of the company that operates the asset. “Gross” are 100% of the reserves and/or resources attributable to the licence whilst “Net attributable” are those attributable to Eco.
Report Highlights – Attributable Best Estimate, Prospective Resources
- Guyana (Orinduik Block) – Net to Eco 681 mmbbls Oil and 544 BCF Gas
- South Africa (Blocks 2B & 3B/4B) – Net to Eco 864 mmbbls Oil and 309 BCF Gas
- Namibia (4 Blocks) – Net to Eco 6,705 mmbbls Oil and 6,565 BCF Gas
Colin Kinley, Co-Founder and COO of Eco Atlantic commented:
“With our current strategy for increasing our stakeholder asset base, we have focused solely on strategic acquisitions that can add material and near-term growth and catalysts for the company. The addition of the Azinam assets in Namibia and South Africa have quickly added prospective resources to our portfolio. As we work towards the completion of our recently announced binding term sheet to acquire JHI’s 17.5% interest in the Canje Block offshore Guyana plus the maturation of additional resources currently being interpreted from ongoing 3D processing in Block 3B/4B we expect to see even further growth of the portfolio from here in the coming months”.
Importantly our acquisitions and strategy to deliver mature drillable prospects in the near term is driven in part by the current heated energy market, the reduction in worldwide exploration, and the marked cycling we anticipate through energy transition in the coming years. Eco has the capacity to participate and provide strategic value accretion through the drill bit. Our planned well for Q3 this year on Block 2B in South Africa is being quickly followed by work on the potential to drill on Block 3B/4B in the Orange Basin, directly adjacent to the recent discoveries announced by TotalEnergies and Shell. We are also confidently progressing towards drilling in Orinduik block offshore Guyana, subject to available funding, and look forward to confirming a drill target and timing with our partners in the coming months. Assuming the acquisition of JHI completes as planned in the coming months, this acquisition will also provide us with the opportunity to participate in a number of targets on the Canje Block as prospects are matured by ExxonMobil and ourselves in the Guyana basin.”
Qualified Person’s Statement
Letha C. Lencioni of WSP USA Inc., has reviewed the technical information contained within this announcement for the purposes of the current Guidance Note for Mining, Oil and Gas Companies issued by the London Stock Exchange. Letha C. Lencioni is a Registered Professional Engineer in the states of Colorado and Wyoming and has over 40 years’ experience in the oil and gas field.
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