ANGOLA: Vallourec wins a major order from TotalEnergies

Operations and Financial Update

Afentra plc, the upstream oil and gas company focused on acquiring production and development assets in Africa, provides the following update for the 6 months ending 30 June 2024:

Angolan Acquisitions

The Company completed the Azule Acquisition in May 2024 for a net consideration of $28.4 million and inherited a crude oil stock of 480,000 barrels.

Onshore License Award

Following the announcement by ANPG, which confirmed Afentra as preferred bidder for a 45% non-operated interest in both KON 15 and KON 19 onshore Angola, the Company has made good progress. The KON 19 contract was formally approved and awarded by Presidential Decree on 05 July. Contract discussions on KON 15 continue to make progress.

Operational Summary

–       Gross average combined production for the period to the end of June 2024 for both Block 3/05 and 3/05A was 22,686 bopd (Net: B3/05 6,411 bopd; B3/05A 281 bopd).

–       Field Operations progressed in 1H 2024:

o  15 LWI’s were completed delivering an overall 2,500 bopd increase to field potential, a further campaign of up to 20 LWI’s commenced at the end of June.

o  Water injection remains a key priority with a peak injection rates of around 60,000 bwipd achieved in April.

o  Upgrade works on the power systems ongoing to maintain water injection rates on a consistent basis.

o  Planning for future workovers, ESP installations and selection of drilling candidate continues.

o  Preparations continue for the extended shutdown planed for September 2024.

Commenting on the update, CEO Paul McDade said:

“The mid-year revenue demonstrates the strong cash flow profile of the assets that we have acquired in Angola.  We are very pleased with the latest lifting as it strengthens our financial position and provides a platform for further growth.  Our liquidity position will be further strengthened by the next scheduled lifting which we expect to occur in August, and we have taken measures to mitigate downside risk through our hedging policy.  We are pleased to report on steady operational progress at 3/05 as the field responds positively to the optimisation activities and we hope to maintain this momentum through the second half of the year and beyond. Finally we are delighted to announce the award of the Kwanza onshore license KON 19, a further demonstration of our successful efforts to expand our business in Angola.”