- Africa Energy Corp. (AFE) announced that the Gazania-1 exploration well on Block 2B did not encounter commercial hydrocarbons
- Africa Energy holds a 27.5 per cent interest in Block 2B
- Block 2B covers 3,062 square kilometres, approximately 25 kilometres off the west coast of South Africa
- The Gazania-1 exploration well was drilled to a total depth of approximately 2,330 meters subsea
- The company expects its net cost exposure on the well to be approximately US$5 million
- Africa Energy is a Canadian oil and gas exploration company focused on South Africa
- Africa Energy Corp. (AFE) opened trading at C$0.315
Africa Energy Corp. (AFE) announced that the Gazania-1 exploration well on Block 2B did not encounter commercial hydrocarbons.
The well is being logged and will then be plugged and abandoned. Africa Energy holds a 27.5% interest in Block 2B.
Jan Maier, Africa Energy’s VP Exploration, commented on the news.
“We have completed drilling the Gazania-1 well, which was designed to test the extension of the oil discovered at A-J1 in 1988. The well was drilled to a total depth of 2,330 meters below sea level and encountered wet gas throughout the main target interval. This confirms an active petroleum system within the basin, but the well did not encounter commercial hydrocarbons. Early interpretation indicates that the trapping mechanism is not effective at this location. Further technical work is required to understand the complexity of the sedimentology and to evaluate alternative viable trapping configurations in the A-J Graben.”
Block 2B is located offshore South Africa in the Orange Basin. The block covers 3,062 square kilometres, approximately 25 kilometres off the west coast of South Africa near the border with Namibia, in water depths ranging from 50 to 200 meters. Soekor discovered and tested oil on Block 2B in 1988 with the A-J1 borehole, which intersected thick reservoir sandstones between 2,985 meters and 3,350 meters. The well flowed 191 barrels of oil per day of 36-degree API oil from a 10-meter sandstone interval at approximately 3,250 meters.
The Gazania-1 exploration well was drilled to a total depth of approximately 2,330 meters subsea. Gases normally associated with light oil were encountered throughout the well, confirming that the active hydrocarbon system proven by the A-J1 discovery extends up-dip to the Gazania-1 well location.
The Block 2B joint venture submitted a Production Right application to the Petroleum Agency of South Africa on November 15, 2022. The Gazania-1 well is currently being logged, and the joint venture partners will undertake a detailed analysis of the results. Further analysis and integration of the well data will allow the joint venture to determine next steps on the block.
The company expects its net cost exposure on the well to be approximately US$5 million.
Africa Energy has a 27.5 per cent participating interest in Block 2B offshore South Africa. The block is operated by Eco, which holds a 50 per cent participating interest. Panoro holds a 12.5 per cent participating interest, and Crown Energy AB indirectly holds the remaining 10 per cent.
Africa Energy is a Canadian oil and gas exploration company focused on South Africa.
Africa Energy Corp. (AFE) opened trading at C$0.315.
