Afentra (LSE:AET) has revised the structure of its planned acquisition from Etu Energias covering interests in Angola’s offshore Blocks 3/05 and 3/05A after national oil company Sonangol, the operator of the assets, exercised its pre-emption rights to participate in the transaction. Under the updated sale and purchase agreement, Afentra will acquire a 3.33% stake in Block 3/05 and a 3.66% interest in Block 3/05A. The deal includes an upfront payment of US$15.2 million along with potential contingent payments of up to US$6.74 million. Completion is targeted for the second quarter of 2026, pending approvals from the Angolan government.
The revised agreement strengthens the partnership between Sonangol, Afentra and Maurel & Prom, with Sonangol’s participation seen as a vote of confidence in the joint redevelopment strategy for the offshore assets. Afentra said the updated structure, including performance-linked payments, supports its broader goal of building a portfolio of cash-generating African energy assets. The partners intend to invest further in the blocks to increase production and expand reserves over time. Following completion, the adjusted joint venture structure is expected to give Afentra roughly one-third of Block 3/05 and around a quarter of Block 3/05A.
Afentra’s outlook is supported by solid financial performance and an attractive valuation profile, suggesting favourable long-term investment potential. However, technical indicators currently point to bearish momentum in the shares. At the same time, the company’s strategic transactions and corporate developments continue to strengthen its growth narrative.
More about Afentra
Afentra plc is a London-listed upstream oil and gas company specialising in the acquisition and management of mature producing and development assets across Africa.
The company’s portfolio is centred on Angola’s offshore Lower Congo and Kwanza basins, where it holds a combination of operated and non-operated interests in producing, appraisal and exploration blocks. Afentra positions itself as a partner for international energy companies and host governments seeking to manage asset transitions while maintaining production and supporting energy transition objectives.
Leave a Reply