Azule Energy has officially acquired a 42.5% interest in Block 2914A (PEL85) in Namibia’s Orange Basin.
The acquisition follows the successful completion of a Farm-Out Agreement with Rhino Resources, announced in May 2024, after receiving all necessary approvals from Namibian authorities and joint venture partners.
Block 2914A, located in the Orange Basin, has been a hotspot for major hydrocarbon discoveries since 2022. The updated contractor group for the block now includes Azule Energy Exploration Angola (42.5%), Rhino Resources Namibia Ltd. (42.5%, operator), Namcor Exploration and Production (10%), and Korres Investments (5%). As part of the agreement, Azule Energy retains the option to assume operatorship during the development phase.
“We are pleased with the support from Namibian authorities and our partners Rhino, Namcor, and Korres that allowed us to achieve this milestone,” said Adriano Mongini, CEO of Azule Energy. “Azule is fully committed to leveraging our experience to safely and reliably unlock the hydrocarbons potential of the license and deliver value for all Namibian stakeholders.”
Plans to drill two high-impact wells remain on schedule, with the first well set to spud on December 18, 2024. The exploration aims to unlock the block’s significant hydrocarbon potential.
Rhino Resources CEO Travis Smithard described the agreement as a transformative milestone, emphasizing the collaboration’s potential to accelerate exploration and development.
“We are delighted to have received the requisite approvals to complete this transformative and strategic farmout transaction with Azule and thank the relevant authorities for their support. This represents another key milestone in Rhino’s organic growth strategy, leveraging our exploration expertise and Azule’s fast-track development capabilities to enhance value creation for all stakeholders,” said Smithard.
Azule Energy is a 50/50 independent joint venture established on August 1, 2022, combining bp and Eni’s Angolan businesses. As Angola’s largest independent oil and gas producer, the company holds net resources of 2 billion barrels of oil equivalent and plans to grow production to approximately 250,000 barrels of oil equivalent per day (boe/d) over the next four years. Azule Energy holds stakes in 18 licenses, participates in Angola LNG Limited, operates the New Gas Consortium, and is a shareholder in Solenova, a solar energy company jointly held with Sonangol.