Eco (Atlantic) Oil & Gas Ltd., a leading exploration company focusing on offshore Atlantic Margins, has finalized a pivotal transaction with Africa Oil Corp. and Africa Oil SA Corp (AOSAC) involving a 1% Participating Interest in Block 3B/4B offshore South Africa.
Alongside this development, Eco Atlantic has made significant changes to its Board of Directors, signaling strategic shifts as the company progresses its exploration portfolio.
Gil Holzman, Co-founder and Chief Executive of Eco Atlantic, expressed optimism about the transaction’s strategic benefits.
“We are pleased to have received approval from the South Africa Government regarding Eco’s transaction with Africa Oil. This is an important milestone toward JV partners’ drilling plans on the Block in 2025.
“The transaction not only strengthens Eco’s balance sheet on a per-share basis but also creates significant shareholder value through a material reduction in the company’s share count.”
Gil Holzman, Co-founder and Chief Executive of Eco Atlantic
Holzman also highlighted the company’s commitment to maximizing shareholder value and maintaining a productive relationship with Africa Oil as Eco Atlantic progresses its broader portfolio.
Initially announced in July 2024, the transaction involved Eco’s wholly owned subsidiary, Azinam, selling a 1% Participating Interest in Block 3B/4B to AOSAC. This sale included rights to the associated Exploration Right and Joint Operating Agreement.
With the completion of the transaction, Eco now holds a fully carried 5.25% Participating Interest in Block 3B/4B, reduced from 6.25%.
The sale received approval from the South African government, marking a critical step toward the joint venture’s (JV) drilling plans for 2025.
Block 3B/4B, located in the Orange Basin offshore South Africa, is considered a highly prospective exploration asset.
The block’s joint venture partners, including Africa Oil Corp., are advancing plans to initiate drilling activities in 2025.
The completion of this transaction positions Eco Atlantic to focus on its retained 5.25% interest, which remains fully carried, allowing the company to benefit from exploration upside without incurring immediate costs.
Board Changes: A New Era of Leadership
As a result of the transaction, Africa Oil is no longer a shareholder in Eco Atlantic and has relinquished its right to appoint a representative to the company’s Board of Directors.
Consequently, Africa Oil’s representative, Oliver Quinn, stepped down from Eco’s Board with immediate effect.
In his place, Eco Atlantic has announced the appointment of Mrs. Emily Ferguson as a Non-Executive Director.
Ferguson, a seasoned oil and gas professional, brings over 22 years of experience spanning technical, commercial, and senior leadership roles in exploration and production.
Holzman expressed enthusiasm about Ferguson’s addition to the Board, citing her leadership and technical acumen.
“We are delighted to welcome Emily Ferguson to the Board.
“Emily is widely recognized for her inspirational leadership and the positive impact she has on teams and individuals.”
Gil Holzman, Co-founder and Chief Executive of Eco Atlantic
Ferguson’s appointment comes as Eco Atlantic prepares for an active year, focusing on farm-out agreements, drilling preparations, and broader portfolio advancements.
“Her expertise will be invaluable as we continue to advance partnerships for our exploration portfolio,” Holzman stated.
The completion of Eco Atlantic’s transaction with Africa Oil and the strategic appointment of Emily Ferguson mark a significant step forward for the company as it navigates the evolving energy landscape.
By strengthening its balance sheet, enhancing leadership, and focusing on its exploration portfolio, Eco Atlantic is well-positioned to capitalize on future opportunities in the offshore oil and gas sector.
“We are now looking forward to a busy year for the company across our entire portfolio and to progressing our respective farm-out and drilling workstreams.”
Gil Holzman, Co-founder and Chief Executive of Eco Atlantic
Eco Atlantic’s focus on shareholder value, operational excellence, and strategic partnerships underscores its commitment to long-term growth and success in the highly competitive offshore energy market.
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