Eco (Atlantic) Oil & Gas Ltd. has released its unaudited results for the three months ended June 30, 2023. The company reported cash and cash equivalents of US$2.4 million and no debt as of June 30, 2023. As of August 30, 2023, Eco had cash and cash equivalents of US$4.7 million. The company's total assets were reported at US$53.31 million, total liabilities at US$3.56 million, and total equity at US$49.75 million.
In Guyana, Eco signed a Sale Purchase Agreement to acquire a 60% Operated Interest in the Orinduik Block offshore Guyana. The acquisition will be made through the acquisition of Tullow Guyana B.V., a wholly owned subsidiary of Tullow Oil Plc. Eco currently holds a 15% working interest in the Orinduik Block and, upon completion of the transaction, intends to drive the exploration process and attract new partners to join the license.
In South Africa, Eco issued 1,200,000 shares to the Lunn Family Trust in place of the US$500,000 cash consideration due for the acquisition of a 6.25% interest in Block 3B/4B. The company also signed a Letter of Intent with Africa Oil to farm out a 6.25% Participating Interest in Block 3B/4B for up to US$10.5 million in cash. The Block is estimated to contain approximately four billion barrels of oil equivalent (BOE) in prospective resources.
Eco continues to receive third-party interest in its strategic acreage position offshore Namibia following drilling success in the area. The company is assessing farm-out opportunities with its four licenses in the region as it considers options for progressing exploration and commercial activity.
Gil Holzman, President and CEO of Eco Atlantic, expressed excitement for the future and the progress being made across the company's portfolio. The unaudited financial results and Management's Discussion and Analysis for the three months ended June 30, 2023, are available for download on the company's website and Sedar.