Horn Petroleum Corporation has announced that it has invoked a new corporate strategy to take advantage of the current downturn in oil prices and intends to aggressively pursue onshore and shallow-water upstream oil opportunities in Africa.
In line with this refocused effort, the Company also says it intends to change its name to Africa Energy Corp. effective March 12 2015 and will continue to be within the Lundin Group of companies and maintain its listing on the TSX Venture Exchange.
The Company has also announced that Mr. Jan Maier has joined the Africa Energy management team as Vice President – Exploration. Mr. Maier has over 32 years’ experience in African new venture exploration with his most significant contributions coming under his tenure at the former Energy Africa Ltd. and Tullow Oil plc.
Mr. Maier was responsible for the overall exploration strategy and oversight of his geoscience and commercial teams, which led to significant basin-opening oil discoveries during this period in Equatorial Guinea, Ghana, Uganda, Mauritania, Gabon, Kenya, and French Guyana.
Africa Energy which will initially focus on opportunities in Sub-Saharan Africa will be managed from a new office in Cape Town, South Africa effective in April 2015.
Keith Hill, currently the President and Chief Executive Officer for Africa Oil Corp. will continue as Chairman of the Board of Directors for Africa Energy.
Additionally, three new board members have joined the Board, including; John Bentley, previously the Chief Executive Officer for Energy Africa in Cape Town, Adrian Nel, previously the Technical Director for Energy Africa in Cape Town, and Ashley Heppenstall, currently the Chief Executive Officer for Lundin Petroleum AB in Geneva. Ian Gibbs, currently the Chief Financial Officer of Africa Oil, will continue to serve as a Director while Randy Neely and Wojtek Wodziki have resigned from the Board.
To finance these new initiatives, the Company is also proposing to raise US$15 million in new equity through a non-brokered private placement of new shares expected to close on or before March 20, 2015 or such other dates as the Company and the finders may agree.
“This is an opportunity-rich period in the oil industry for acquisitions, mergers, farm-ins and directly negotiated deals with various African governments with limited competition, very similar to the conditions in late 2008 and 2009 when we built our extensive East African acreage position in Africa Oil. While the focus will be on building value through the exploration drill bit, we will also consider acquiring producing properties at distressed prices to help fund future exploration,” says President and Chief Executive Officer for Africa Energy James Phillips.
Horn Petroleum Corporation holds a 60% interest and operatorship in the Dharoor and Nugaal blocks in Puntland, Somalia.