Eco (Atlantic) Oil & Gas (LSE:ECO) has provided a mid-year operational update, highlighting progress across its Atlantic Margin portfolio as it pursues a strategy focused on farm-outs, drilling carries and strategic partnerships designed to limit capital exposure while maintaining exploration upside.
Namibia Transactions Progressing Toward Completion
In Namibia, Eco reported continued progress on its farm-down agreement with BP covering licences PEL97, PEL99 and PEL100. The transaction remains on track for completion during the third quarter and is expected to deliver a cash payment, a significant carried drilling commitment and planned seismic activity across the acreage.
The company is also awaiting regulatory approval for the proposed farm-out of PEL98 to Lamda Energy, further strengthening its position in one of the world’s most active offshore exploration regions.
Guyana Discussions Continue on Orinduik Block
In Guyana, Eco and its partner Navitas are engaged in discussions with authorities regarding a new licence and production sharing agreement for the Orinduik Block.
The block includes the Jethro and Joe discoveries, and Eco’s 20% interest is expected to benefit from a pre-defined carry arrangement covering future exploration and development activities.
Falklands Portfolio Offers Long-Term Development Potential
Eco also highlighted ongoing developments in the Falkland Islands, where it is awaiting approval of a licence extension and confirmation of Navitas as operator of licence PL001.
The company noted the block contains a substantial inventory of exploration prospects and significant prospective resources. Its location near the Sea Lion development, together with the possibility of additional floating production infrastructure in the region, could provide future development opportunities.
South Africa Positioned for Upcoming Catalysts
In South Africa, Eco is awaiting environmental authorisation for drilling operations at Block 3B/4B, where it retains the benefit of a full carry on the first two exploration wells.
The company is also progressing Navitas’ farm-in to Block 1 CBK, a transaction that includes a cash component and has received positive feedback from local stakeholders.
Management said South Africa’s increasing focus on domestic oil and gas development as part of its broader energy transition strategy is creating a supportive backdrop for future activity.
Diversified Atlantic Exposure
Eco said the combination of carried drilling programmes, incoming cash payments and strategic partnerships positions the company for what it sees as a transformational period, with multiple operational and financial catalysts expected across its portfolio during 2026.
More about Eco Atlantic Oil & Gas
Eco (Atlantic) Oil & Gas is an offshore exploration company listed on both the TSX Venture Exchange and AIM. The company holds interests in exploration assets across Guyana, Namibia, South Africa and the Falkland Islands, focusing on Atlantic Margin basins with access to existing or planned infrastructure and targeting oil and gas resources in emerging markets.
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