Oil and gas company BW Energy has signed an agreement to acquire shares in Reconnaissance Energy Africa (ReconAfrica), a Canadian junior oil and gas company exploring Namibian onshore basins.
BW Energy will own a 20% non-operating stake in Petroleum Exploration License 73 (PEL), where ReconAfrica spudded the Naingopo exploration well in July.
“The transaction will enable BW Energy to expand its footprint in a strategically important energy region and further our position as a leader in Namibia’s development towards energy independence,” said Carl Krogh Arnet, the CEO of BW Energy.
ReconAfrica will utilize $6.4 million in capital from BW Energy to fund the drilling of two exploration wells in the Damara Fold Belt Basin in the second half of 2024. The capital will support a seismic survey planned for the second half of 2025 to assess the potential for drilling two exploration wells in the Kavango Rift Basin.
“The data and insights gained through ReconAfrica’s exploration campaign will further our understanding of the geology and petroleum system in Namibia and help de-risk planned exploration and development of our Kudu license,” adds Arnet.
