Eco Atlantic Oil & Gas expects the completion of its farm-down agreement with BP Namibia Energy in the third quarter of 2026, as preparations continue for seismic programmes across its offshore petroleum licences in Namibia.
President and Chief Executive Officer Gil Holzman said the company is progressing the transaction with BP Namibia Energy Ltd, a wholly owned subsidiary of BP Exploration Operating Company Limited, covering Petroleum Exploration Licences (PEL) 97, 99 and 100.
According to Holzman, the transaction is expected to close in the third quarter of 2026, subject to the fulfilment of the remaining conditions. Upon completion, BP will pay Eco US$2.7 million in cash.
Holzman said BP will also fund 100% of Eco’s retained 25% interest, as well as Eco’s proportionate share of the interests held by NAMCOR (10%) and local partners (5%) during the current exploration phase.
He noted that the maximum aggregate carry by BP for Eco’s interests across the three licences amounts to US$63 million, based on a ceiling of US$21 million per licence.
Holzman added that Eco and its partners are preparing for extensive exploration activities in Namibia, including the completion of seismic reprocessing on PEL 97 and the acquisition of a 3,000-square-kilometre 3D seismic survey over PELs 99 and 100.
He further said the company expects to receive the necessary government approvals in the third quarter of 2026 for the farm-out of PEL 98 to Lamda Energy (Pty) Ltd.
Commenting on the company’s broader strategy, Holzman said 2026 has already been a transformational year, with several value-enhancing initiatives progressing simultaneously across its portfolio.
“In what has already proven to be a transformational year to date, multiple further value-accretive workstreams remain underway across our portfolio of four diversified Atlantic Margin basins,” he said.
Holzman added that the return of major international energy companies to Atlantic Margin exploration reinforces Eco’s position in key offshore jurisdictions.
“It is good to see a number of the sector’s largest players returning to high-impact Atlantic Margin exploration, and we believe Eco is perfectly positioned in four of the most attractive jurisdictions. We are excited about the coming months and the number of additional corporate, operational and financial catalysts that lie ahead,” he said.
