Equatorial Guinea’s Ministry for Mining and Hydrocarbons has approved a landmark farm-out agreement involving Europa Oil & Gas’s associated company Antler Global and Chinese firm Fuhai on the EG-08 Production Sharing Contract, paving the way for the Barracuda-1 exploration well to be drilled as early as 2027.
Under the arrangement, Antler Global will hold a 40% working interest in EG-08 and remain as operator, with Fuhai taking an equal 40% stake and the state company GEPetrol retaining 20% to represent Equatorial Guinea’s national interest. Europa holds a 42.9% equity interest in Antler, giving it indirect exposure to the block.
The deal remains subject to Overseas Direct Investment approval from China’s Shandong Provincial government before it can be formally completed. Europa CEO William Holland said the ministry’s approval marks important progress. “I am pleased to have received approval from the Ministry and I would like to thank the team at MMHD for their ongoing support as we progress this project to drilling,” Holland said. “Alongside our partners at Fuhai, we have been working hard to assemble the drilling team needed to spud the Barracuda-1 well at the earliest opportunity. Once we have received ODI approval, we will then be able to secure a rig.”
Europa Oil & Gas is an AIM-quoted exploration, development and production company with a focus on West Africa, the United Kingdom and Ireland. The EG-08 drilling programme will be a key test of the company’s Equatorial Guinea strategy.
Source: energy-pedia.com