Afentra (LSE:AET) has accelerated its 2026 drilling campaign on Angola’s offshore Block 3/05 after securing the Borr Grid jack-up rig through a commercial agreement with national oil company Sonangol. The arrangement allows a two-well programme to begin within days, starting with the Pacassa SW exploration well. Under the deferred funding structure, Sonangol will cover the upfront drilling costs and recover them from future incremental production. This structure is expected to leave Afentra’s planned 2026 capital expenditure unchanged while targeting a potential gross production increase of about 9,000 barrels per day and unlocking additional recoverable resources across the Pacassa SW area and the Impala field.
The campaign will initially focus on the previously undrilled Pacassa SW fault block, which could be quickly tied back to existing infrastructure if the well proves successful. The rig will then move to either a Pacassa SW injection well or the Impala-2 development well, aimed at refining the development plan for as much as 50 million barrels of incremental recoverable resources at Impala. Management views the accelerated drilling as an important step in advancing Afentra’s organic growth strategy, leveraging established platforms and infrastructure to bring additional resources into production while gathering new subsurface data to support future exploration opportunities across Block 3/05.
The company’s outlook is supported by solid financial performance and an attractive valuation profile, suggesting positive long-term potential. However, technical indicators point to some bearish share price momentum in the near term. Strategic initiatives and recent operational developments are expected to strengthen Afentra’s growth trajectory and support value creation for shareholders.
More about Afentra
Afentra plc is a London-listed upstream oil and gas company focused on acquiring and developing mature producing and development assets across Africa. The company holds non-operated interests in several offshore blocks in Angola’s Lower Congo and Kwanza basins, alongside operated and non-operated positions in nearby exploration acreage. Afentra’s strategy centres on working with international oil companies and host governments to maximise value from existing assets while supporting the region’s evolving energy landscape.
Leave a Reply