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AFRICA OIL ANNOUNCES COMPLETION OF THE STRATEGIC FARM DOWN FOR ORANGE BASIN BLOCK 3B/4B
AFRICA OIL ANNOUNCES COMPLETION OF THE STRATEGIC FARM DOWN FOR ORANGE BASIN BLOCK 3B/4B ...
About this update from Meren Energy Inc.
[{"type":"text","content":"\n\n\n\n AFRICA OIL ANNOUNCES COMPLETION OF THE STRATEGIC FARM DOWN FOR ORANGE BASIN BLOCK 3B/4B\n \n\n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n\n\n\n\n\n Canada NewsWire\n \n\n\n\n\n\n VANCOUVER, BC\n \n\n ,\n \n\n Aug. 28, 2024\n \n\n /CNW/ - (TSX: AOI) (Nasdaq-Stockholm: AOI) –\n \n Africa Oil Corp.\n \n (\"Africa Oil\", or the \"Company\") is pleased to announce the completion of Africa Oil SA Corp.'s (\"AOSAC\") strategic farm down agreement (\"Agreement\") with  TotalEnergies EP South Africa S.A.S. (\"TotalEnergies\") and QatarEnergy International E&P LLC. (\"QatarEnergy\") for the Orange Basin Block\n \n 3B\n \n /\n \n 4B\n \n , offshore\n \n South Africa\n \n , announced on\n \n March 6, 2024\n \n . AOSAC is a wholly-owned subsidiary of Africa Oil.\n \n View PDF version\n \n\n\n AOSAC has retained a direct 17.00% interest in Block\n \n 3B\n \n /\n \n 4B\n \n and transferred the operatorship of the block to TotalEnergies.\n \n\n\n Transaction Highlights:\n \n\n\n\n Maximum transaction value of up to\n \n $46.8 million\n \n to Africa Oil.\n \n\n Africa Oil will receive, subject to achieving certain milestones defined in the Agreement, staged cash payments for a total cash payment of\n \n $10.0 million\n \n of which\n \n $3.3 million\n \n is now due, and the remaining balance in two successive payments conditional upon achievement of key operational and regulatory milestones.\n \n\n Africa Oil will also receive a full carry of its 17.00% retained share of all JV costs, up to a cap, repayable to TotalEnergies and QatarEnergy from production in case of exploration success and development, which is expected to be adequate to fund the Company's share of drilling for up to two wells on the licence.\n \n\n\n Under a separate agreement between Africa Oil, AOSAC, Eco (Atlantic) Oil & Gas Limited (\"Eco\") and Eco's subsidiary, Azinam Limited (\"Azinam\"), signed in\n \n July 2024\n \n , AOSAC will acquire an additional 1.00% in Block\n \n 3B\n \n /\n \n 4B\n \n from Azinam (\"Eco Agreement\") subject to the satisfaction of customary conditions precedent...