Pancontinental Energy says selected parties are advancing technical and commercial evaluations of a proposed farm-in opportunity in its offshore PEL 87 licence, as the company moves closer to securing a partner for the asset.
Pancontinental said interested groups have accessed its virtual data room and are actively assessing detailed subsurface information, with ongoing engagements pointing towards a potential investment decision.
“The invited candidates for the PEL 87 farm-out process have now accessed the virtual data room, with a number of groups advancing their technical and commercial evaluations of the PEL 87 farm-in opportunity as they progress towards an investment decision,” the company said.
It added that discussions with potential partners are ongoing, with additional technical and commercial information being provided as required.
The developments come after the company secured a 12-month extension to the First Renewal Exploration Period for its offshore Petroleum Exploration Licence (PEL 87).
The extension, granted by the Ministry of Industries, Mines and Energy in March, extends the licence period to 22 January 2027 and is tied to key work commitments.
These include completing an environmental impact assessment, reprocessing 3D seismic data and drilling an exploration well.
Pancontinental said the environmental assessment is already at an advanced stage and could be completed within three months once drilling parameters are confirmed.
Seismic work will begin with a feasibility study aimed at improving data quality, particularly around the Saturn Complex targets.
“The required seismic reprocessing work programme will initially comprise a feasibility study to determine whether improvements to the data, such as noise reduction, are achievable in the vicinity and at the depth of the Saturn Complex targets,” the company said.
The company continues to prioritise the Oryx and Hyrax prospects, along with the broader Saturn Complex, which it considers high-potential anchor targets.
A successful well at either Oryx or Hyrax could significantly de-risk the wider licence area.
Pancontinental ended the quarter with a cash balance of N$44.5 million (US$2.7 million), positioning it to advance its work programme and partner engagement process.
