ReconAfrica has signed a Memorandum of Understanding (MOU) with Angola’s national concessionaire and regulator, ANPG, to jointly explore the Etosha-Okavango basin in southeastern Angola.
This agreement adds a strategic asset to ReconAfrica’s portfolio, allowing the company to enter Angola’s onshore sector early with low costs and minimal work obligations. It strengthens ReconAfrica’s ongoing operations in Namibia and adds 5.2 million acres in Angola to its existing 6.3 million acres in Namibia, all within the highly prospective Damara Fold Belt and Rift Basin.
ReconAfrica’s President and CEO, Brian Reinsborough, said the recent positive technical results from the Naingopo exploration well in Namibia have reinforced confidence in the region’s hydrocarbon potential. He noted that the Damara Fold Belt, which spans large areas and hosts some of the world’s largest fields, likely extends into Angola based on their geological models.
He emphasized the company’s excitement over the MOU with ANPG, especially given Angola’s recent regulatory reforms that have created a more favorable climate for oil and gas exploration. ReconAfrica looks forward to collaborating with ANPG and Sonangol as it advances exploration efforts.
Reinsborough added that this move reflects the company’s strategic focus and supports its broader vision across the Damara Fold Belt and Rift Basin plays. The agreement aligns with ReconAfrica’s mission to deliver shareholder value by securing early access to promising basins with large acreage. The company also plans to implement ESG initiatives and local employment programs in the Okavango region.
Under the MOU, ReconAfrica holds an 80% working interest, while Sonangol retains 20%. ReconAfrica will maintain exclusive rights throughout the MOU’s duration.
Over a 24-month period, the company will lead geological studies, conduct regional oil and gas seep investigations, plan and execute a 2D seismic survey, and carry out detailed geochemical analysis of any seeps found in the MOU area.
source:finance.yahoo.com
