Page 16 - AfrOil Week 18 2021

AfrOil NEWS IN BRIEF AfrOil

“Our flagship ANOH gas project is proceeding enter into the next sub-phase of PEL0094 in
as planned and was fully funded in February, September 2021. Proceeds from the Placing will
when our joint venture company AGPC suc- be used to part-fund the cost of the future licence
cessfully raised $260mn of debt financing. In work programme commitment and for general
addition, the success of our $650mn Eurobond working capital purposes.
issuance in March demonstrates investor confi- Global Petroleum, April 29 2021
dence in our prudent financial management and
the exciting future ahead for the Company and
its stakeholders.” INVESTMENT
Seplat Petroleum Development, April 29 2021
Zenith Energy acquires

Robbana and El Bibane
FINANCE
Global Petroleum completes concessions from Candax

placing to raise GBP1.0mn Zenith Energy, the listed international oil & gas
production company focused on pursuing Afri-
AIM-listed Global Petroleum has success- can development opportunities, has announced
fully raised GBP1mn in aggregate before costs, that, its market announcement dated April 21,
through the Placing of 222,222,222 Ordinary 2021, Compagnie Du Desert (CDD), its recently at a rate of between approximately 500-600 bpd
Shares at a Placing Price of GBP0.0045 per share. incorporated fully owned subsidiary, has entered of oil (35 API) prior to production being sus-
As a further component of the Placing, into a share purchase agreement (SPA) with pended. The low oil price environment during
111,111,111 Warrants are also being issued at Candax Energy for the acquisition of a 100% 2020 and the material investment required to
an exercise price of GBP0.009 per share for a interest in Candax’s fully owned subsidiary in restore production from this well have pre-
period of two years (one Warrant for every two Barbados, Ecumed Petroleum Tunisia (EPT), vented the necessary repair work from being
new Ordinary Shares). In the event the Warrants which holds a 100% interest in the El Bibane and implemented.
are exercised in due course in full, associated Robbana concessions in Tunisia. Zenith has already obtained market quota-
proceeds will be GBP1.0mn, with the result that Pursuant to the terms of the SPA, CDD has tions for the well intervention required to restore
the Company will have raised gross proceeds agreed to acquire 100% of the issued share cap- production from well EBB-3 for an amount of
of GBP2.0mn at a weighted average price of ital of EPT for a nominal consideration of $100 approximately $3.5mn. In the event of a success-
GBP0.006 per share. payable at completion, as well an additional ful well intervention in EBB-3, the Company
Monecor (London) Ltd, trading as ETX Capi- consideration of approximately $$200,000 in expects to produce approximately 500 boepd
tal, acted as the Company’s sole broker in respect the form of assumption of debt payable by the from El Bibane.
of the Placing, and will serve as Joint Broker to close of May 2021. Robbana Highlights: The Robbana conces-
the Company effective upon Admission of the El Bibane Highlights: The El Bibane conces- sion, covering 48 square km and located onshore
Placing Shares. sion is located 16 km offshore from the port of in the island of Djerba in the southern Gulf of
Rationale for the Placing: In January 2021 Zarzis in the Gulf of Gabes, covering an area of Gabes, was discovered in 1988, achieving a peak
the Company announced its updated Prospec- approximately 228 square km and in approxi- production of 500 bpd in 1994. The ROB-1
tive Resources on its Namibian licence PEL0094. mately 7-8 metres water depth. well encountered two hydrocarbon-bearing
The inclusion of seven new leads, in addition to The field was discovered by Marathon Oil in reservoirs in the Cretaceous Upper Meloussi
the Marula and Welwitschia Deep prospects, 1982. However, it was not developed until 1998. Sandstone formation. Only two wells have been
resulted in a threefold increase to 2.284bn barrels Upon initial development, a peak production of drilled in Robbana since discovery, ROB-1
of Best Estimate (P50) Prospective Resources 4,500 bpd was achieved. The reservoir is located which is still in production and ROB-2 which is
of oil net to Global, confirming the Company’s in the cretaceous Zebbag fractured dolomite temporarily abandoned.
view that the acreage is highly prospective. formation at approximately 2,150 metres below Robbana currently produces approximately
Following this, Global then commenced a surface. 25 bpd of oil from ROB-1, having previously
farm-out process, which is currently underway. Zenith has acquired a 100% working interest produced approximately 50 barrels of oil per day
The Company has completed its work com- in El Bibane. A total of three wells remain active prior to an unsuccessful well intervention.
mitments under the current licence sub-period, within El Bibane: EBB-5, EBB-4 and EBB-3RE2. Studies have suggested that an infill well,
which expires in September 2021. The commit- A total of six wells plus four sidetracks have been to be drilled in the proximity of well ROB-1, is
ment for the next sub-period is to shoot a 2,000 drilled. expected to produce approximately 200 bpd of
square km 3D seismic survey. EBB-5 currently produces approximately oil.
Namibia has seen multiple farm-ins or acqui- 80-100 bpd of condensate (API 49/50) with Candax commissioned an independent
sitions completed since 2017 by companies such 5.5-6 mcf of natural gas from well EBB-5, which reserves evaluation, as of December 31, 2019,
as Qatar Petroleum, Total, ONGC, Kosmos, and is re-injected into the formation via well EBB-4. for the contingent reserves (1C) of Robbana
most notably ExxonMobil. Moreover, there are It is expected that, by utilising new technologies, which evaluated remaining OIP as 10.99mn bar-
reported to be several highly prospective explo- well EBB-4 may achieve commercial production rels. The study noted specifically noted that the
ration wells planned in the coming months, of natural gas in addition to its current use as an “Middle Triassic sandstones of the Ras Hamra
notably Total’s Venus-1 well, and Shell’s well in injector well. formation present a very significant ‘high-risk/
PEL0039, both in Namibia’s Orange Basin. EBB-3 suffered string damage and has been high reward’ exploration objective.”
The Placing will position the Company to temporarily shut-in, having previously produced Zenith Energy, April 30 2021

P16 www. NEWSBASE .com Week 18 05•May•2021