Oil and gas exploration and production company 88 Energy Limited has initiated its 2D seismic data acquisition programme for Petroleum Exploration Licence 93 (PEL 93), located in the Owambo Basin.
The programme aims to acquire approximately 200-line km of 2D seismic data. PEL 93 encompasses 18,500 square kilometres of underexplored sub-surface within Namibia’s Owambo Basin.
“88 Energy, through its wholly owned Namibian subsidiary, holds a 20% working interest in PEL 93, with the option to increase to a 45% non-operated interest through additional staged farm-in activities,” noted 88 Energy.
The commencement follows the award of the contract for the 2D seismic acquisition programme to Polaris Natural Resources Development Ltd (Polaris) in May 2024. Polaris has mobilised vibroseis units and recording equipment to the site as of late June 2024.
“Polaris expects to complete the programme in Q3 2024, with data processing anticipated to be finalised in Q4 2024. Results from the new 2D seismic acquisition will be integrated with existing historical exploration data to refine current prospect interpretation,” the company said.
88 Energy highlights that the programme aims to quantify the size of prospective resources through a certified Prospective Resource estimate and identify potential future drilling locations.
This comes as 88 Energy last year signed an agreement to earn a 45% stake in onshore petroleum exploration licence 93 (PEL 93) in the Owambo Basin, Namibia, from Namibian company Monitor Oil and Gas Exploration (Namibia) (MELN), a wholly owned subsidiary of Monitor Exploration.
Under the three-stage farm-in agreement, 88 Energy’s wholly owned subsidiary 88 Energy (Namibia) (88EN) will initially make a payment of US$3.7 million to MELN, over four instalments, for a total of a 20% stake in PEL 93.
In the second stage, 88 Energy will make a US$7.5 million payment towards the first well gross cost, estimated at US$12 million, to receive an additional stake of 17.5%.
88 Energy, in the third stage, will have the option to fund US$7.5 million of the second well gross cost to earn an additional 7.5% stake in the licence. This will bring 88 Energy’s aggregate stake in the licence to 45%.
