TotalEnergies and QatarEnergy signed a farm-in agreement with Africa Oil Corporation, Ricocure, and Eco Atlantic Oil & Gas to acquire participating interests in Block 3B/4B, offshore South Africa, both companies announced on Wednesday.
Following completion of the transaction, QatarEnergy will hold a 24% participating interest in Block 3B/4B, TotalEnergies will hold 33% and will be the operator, while the remaining participating interests will be held by existing license holders, Africa Oil Corporation (17%), Ricocure (19.75%) and Eco Atlantic Oil & Gas (6.25%), according to two separate statements from TotalEnergies and QatarEnergy.
Located in the Orange basin, 200 km off the western coast of South Africa, Block 3B/4B covers an area of 17,581 square kilometers, Block 3B/4B is adjacent to the Deep Water Orange Basi (DWOB) license operated by TotalEnergies (50%) alongside QatarEnergy (30%) and Sezigyn (20%).
Commenting on the deal, Saad Sherida Al-Kaabi, the Qatari energy minister and CEO of state-owned QatarEnergy, said: “The farm-in to Block 3B/4B builds on our presence in the prolific Orange Basin.”
“We are pleased to enter this block together with our strategic partner TotalEnergies, and we look forward to working together with our partners and the relevant government entities in South Africa to further assess this block’s potential,” Al-Kaabi added.
For his part, Kevin McLachlan, Senior Vice-President Exploration of TotalEnergies said: “Following the Venus success in Namibia, TotalEnergies is continuing to progress its Exploration effort in the Orange Basin, by entering this promising exploration license in South Africa.”
An independent assessment estimates Block 3B/4B holds a potential 4 billion barrels of oil equivalent in undiscovered resources.
