Azinam Ltd. has acquired a 40% operating interest in Block 3B/4B and a 51% operating interest in Nearshore Block 3B/4B in the Orange Basin, offshore South Africa, with Ricocure Pty Ltd. on Sept. 11, retaining 60% and 49% in the blocks respectively.
The acquisition is subject to government approval and other conditions. The licenses were previously held by Ricocure under technical co-operation permits. The exploration right applications have already been submitted for both Block 3B/4B and Nearshore Block 3B/4B. The partners anticipate this application to be completed and approved by the beginning of 2019.
The acquisition marks a new country entry for Azinam and will significantly strengthen and diversify Azinam’s West Africa portfolio along this highly prospective part of the Atlantic margin. The license areas of the two blocks cover 18,530 sq km (7,154 sq miles) in aggregate with Block 3B/4B located between 120 km to 250 km offshore South Africa. The Block 3B/4B license was previously held by BHP Billiton (NYSE: BBL) who acquired a 10,000 sq km GeoStreamer 3-D survey in 2012 which Azinam plans to reprocess. The expected improvement in data quality will help identify the best prospects within the license. This approach has already been proven on data sets of similar vintage offshore Namibia.
Following completion of the acquisition, Azinam will have one of the largest portfolios offshore South West Africa—totaling 80,530 sq km—possessing world class prospects within attractive fiscal regimes and benign operating environments. Azinam recently announced its intention to drill several exploration wells in the next 24 months. In addition to assessing the acreage held by Azinam in the Walvis Basin, the drilling campaign is expected to expand to test this newly acquired acreage.
Recommended Reading
2023-2025 Subsea Tieback Round-Up
2024-02-06 - Here's a look at subsea tieback projects across the globe. The first in a two-part series, this report highlights some of the subsea tiebacks scheduled to be online by 2025.
AI Poised to Break Out of its Oilfield Niche
2024-04-11 - At the AI in Oil & Gas Conference in Houston, experts talked up the benefits artificial intelligence can provide to the downstream, midstream and upstream sectors, while assuring the audience humans will still run the show.
Tech Trends: AI Increasing Data Center Demand for Energy
2024-04-16 - In this month’s Tech Trends, new technologies equipped with artificial intelligence take the forefront, as they assist with safety and seismic fault detection. Also, independent contractor Stena Drilling begins upgrades for their Evolution drillship.
Subsea Tieback Round-Up, 2026 and Beyond
2024-02-13 - The second in a two-part series, this report on subsea tiebacks looks at some of the projects around the world scheduled to come online in 2026 or later.
TGS, SLB to Conduct Engagement Phase 5 in GoM
2024-02-05 - TGS and SLB’s seventh program within the joint venture involves the acquisition of 157 Outer Continental Shelf blocks.