Tower Resources plc has secured approval from the Namibian Ministry of Industries, Mines and Energy (MIME) for the farm-out of its Petroleum Exploration Licence (PEL) 96 offshore Namibia to Prime Global Energies Limited, paving the way for the transaction to be completed.
The approval satisfies the final outstanding condition of the farm-out agreement announced in January 2025, enabling the AIM-listed oil and gas company to proceed with closing the deal.
Tower Resources Chairman and Chief Executive Officer Jeremy Asher welcomed the approval, thanking the ministry, the Upstream Petroleum Unit and the National Petroleum Corporation of Namibia (NAMCOR) for their engagement during the review process.
“We are very pleased to have received this letter of approval, and would like to thank the relevant personnel at MIME, the Upstream Petroleum Unit and NAMCOR for their diligent review and continued engagement throughout this process. We would also like to welcome Prime, who we view as a highly favourable partner for PEL96, with substantial technical and financial resources and a track record of operational success. We look forward to working alongside them and our other stakeholders to progress the work programme offshore Namibia,” Asher said.
The company said it will issue a notice of completion to Prime and submit a draft deed of assignment, novation and amendment to the ministry and its project partners, with the transaction expected to be finalised shortly.
Tower is also seeking approval to acquire an additional 5% interest in PEL96 from local partner ZM Fourteen Investment (Pty) Ltd.
While delays mean the parties are no longer contractually bound to complete that transaction, discussions remain ongoing.
Tower Resources is an AIM-listed energy company with oil and gas assets across Africa.
Its current strategy focuses on generating near-term cash flow from projects in Cameroon while advancing exploration activities in Namibia and South Africa
