13th Sep 2018 11:40
LONDON (Alliance News) - Eco Atlantic Oil & Gas Ltd said on Thursday that Total Petroleum SA has exercised an option to take 25% of Namibia's Orinduik block from Eco.
Eco said the exercise was received before delivery of the final 3D seismic data from Orinduik, which is offshore Guyana.
Total Petroleum, part of France's Total SA, will pay USD12.5 million to Eco. Total will have a 25% holding and Eco will have 15%, while operator Tullow Oil PLC will have 60%.
Eco Chief Executive Gil Holzman said: "We are absolutely delighted Total, one of the world's largest oil companies, has so quickly chosen to exercise its option to acquire a 25% stake in our Orinduik block to gain further exposure to offshore Guyana, currently one of the most exciting exploration areas globally.
"The board believes the early exercise of the option by Total is an indication of Total's confidence in the prospectivity of the Orinduik block based on the data it has received to date from Eco and Tullow Oil, the existing licence partners on the Orinduik block."
Eco shares were 2.0% higher on Thursday at 52.00 pence each.
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Tullow OilTTA.L