Eco (Atlantic) obtains extensions for 4 Namibian PELs

Executive Summary

• Eco (Atlantic) Oil & Gas Ltd. has secured one-year license extensions for all four of its Namibian exploration licenses (PELs 97, 98, 99, and 100), pushing the initial exploration period expiry to September 2026, with options for further renewals.
• The company has agreed to farm out its entire 85% working interest in PEL 98 (Sharon Block) to Lamda Energy, a wholly Namibian-owned company, pending government approval.
• Eco has received environmental clearance for seismic surveys and finalized new work programs for PELs 97, 99, and 100, focusing on 3-D seismic reprocessing and surveys to unlock deeper water hydrocarbon potential.

Key Details

• License Extensions:
  • One-year extension granted to the initial exploration period for PELs 97, 98, 99, and 100, extending the expiry date to September 2026.
  • Optional first renewal period of two years following the initial extension.
  • Optional extension of the first renewal period of an additional one year.
  • Optional second renewal period of two additional years.
• PEL 98 Farmout to Lamda Energy:
  • Eco is farming out its total 85% working interest in PEL 98 (Block 2213, Sharon Block) to Lamda Energy Pty. Ltd.
  • Transaction is subject to government/ministerial approval.
  • Lamda Energy is a privately owned, 100% Namibian-owned company with an experienced operating team.
  • Financial Terms: Lamda Energy will make an upfront payment to Eco for administrative costs.
  • Future Payments: If Lamda Energy farms out to a third party, it must pay Eco a fixed quantum per percentage interest farmed out, capped at a maximum of $2 million (U.S.).
  • Eco will retain a board seat at Lamda Energy to facilitate knowledge transfer and transition.
• Seismic and Work Programs:
  • Environmental clearance certificate received on June 15, 2025, from the Ministry of Environment, Forestry and Tourism.
  • PEL 97: 3-D seismic reprocessing.
  • PELs 99 and 100: Approximately 1,000-square-kilometre 3-D seismic survey and processing on each.
  • Activities are authorized across the deepwater Walvis basin offshore Namibia.
• Strategic Focus:
  • Eco is shifting geological focus to deeper proven plays in Namibia (PELs 97, 99, and 100).
  • Company is currently receiving interest to farm down the extended licenses and revised work programs.

Notable Quotes

• "These developments represent an important step in our tactical vision and an optimization of our Namibian portfolio and work programs... Their support has been instrumental in the alignment of our efforts on our deeper-water PELs 97, 99 and 100, which have been the recent focus of industry partners." — Gil Holzman, President and CEO