NAMIBIA: Azule Energy and Rhino Resources Announce Strategic Farm-In Agreement for Block 2914A (PEL85)

Azule Energy and Rhino Resources Namibia announce the execution of a farm-in agreement. The agreement will grant Azule a 42.5% interest in Block 2914A located in the offshore Namibian Orange basin.

The current contractor group consists of Rhino {Operator, 85%), Namcor (10%) and local company Korres Investments {Pty) Ltd {5%).

The plan is to drill two high-impact exploration wells, as part of a work programme in the area, with the first well expected to spud by the end of 2024. The Agreement also provides Azule Energy with an option to become the operator of PEL85.

The transaction is subject to customary third-party approvals from the Namibian authorities and joint venture parties.

Azule Energy’s CEO, Adriano Mangini, expressed his enthusiasm about this strategic move: ‘Our entry into offshore Namibia represents a significant milestone for Azule. We are excited to enter this highly prospective hydrocarbon region and to participate in the unlocking of Namibia’s oil and gas potential. This venture aligns with Azule Energy’s vision of becoming a regional leader in energy exploration and underscores its dedication to safe and reliable resource development.’

Rhino Resources· CEO, Travis Smithard said: ‘The signing of this agreement sets the foundations for a new strategic partnership between Rhino and Azule. This partnership is based upon a mutual drive to accelerate exploration on the block with the goal of developing the hydrocarbon potential in the shortest timeframes possible. We believe that Azule’s unique capabilities of rapid deployment of technical and financial resources will complement our objectives of delivering value creation, for the benefit of all Namibian stakeholders.’