Eco (Atlantic) Oil & Gas Ltd. has released its unaudited results for the three and six month periods ending on September 30, 2023. The company reported having cash and cash equivalents of US$3.85 million and no debt. It had total assets of US$51.0 million, total liabilities of US$1.71 million, and total equity of US$49.30 million.
In Guyana, Eco (Atlantic) Oil & Gas signed a Sale Purchase Agreement to acquire a 60% Operated Interest in the Orinduik Block offshore Guyana. The company received government approval for the transfer of the working interest and operatorship in the block and completed the transaction, becoming the designated operator with a 75% aggregate participating interest. A formal farm-out process for the Orinduik Block has commenced.
In South Africa, the company issued shares to the Lunn Family Trust in place of cash consideration for the acquisition of a 6.25% interest in Block 3B/4B. Eco (Atlantic) Oil & Gas also signed a Letter of Intent with Africa Oil to farm out a 6.25% participating interest in the block for up to US$10.5 million in cash. Government approval and the cash payment are expected to be received by the end of 2023. The company continues to progress a farm-out and prepare for a two-well drilling campaign on the block.
Eco (Atlantic) Oil & Gas has applied for a Production Right Application for Block 2B in South Africa and is assessing opportunities to deliver value from this license. In Namibia, the company is receiving third-party interest in its strategic acreage position and is assessing farm-out opportunities for its licenses in the region.
The company also announced board changes, with the appointment of Miss Alice Carroll and Miss Selma Usiku as executive and non-executive directors, respectively, and the retirement of Helmut Angula from the board.
Gil Holzman, President and CEO of Eco Atlantic, expressed satisfaction with the progress made across the company's exploration portfolio, particularly the acquisition of the 60% working interest in the Orinduik Block in Guyana. He also mentioned the progress in South Africa and the increased interest in the company's acreage position in Namibia. Holzman stated that the last two quarters of 2023 have been highly active and the company looks forward to providing further updates on farm-out workstreams and drilling plans.