Impact Oil and Gas has farmed in to Area 2, offshore South Africa, under a deal with Silver Wave Energy.
Impact will take a 90% stake, and the role of operator, in Area 2. The licence is adjacent to the Transkei and Algoa block, which the company reclaimed last week. Silver Wave will hold the remaining 10%.
The company said the new area complimented its position, which now runs for the entire length of the ultra-deepwater part of the Transkei margin. Area 2 and the Transkei and Algoa area cover more than 124,000 square km.
Impact’s CEO Siraj Ahmed said the deal with Silver Wave was a “significant addition” to his company’s portfolio. “Following Total’s recent successes in the Outeniqua basin, and the upcoming Venus well in Namibia, this acquisition materially increases the company’s presence within an exciting exploration region, as it opens-up.”
The 78,708 square km Area 2 includes the emerging Aptian deepwater oil and gas play, Impact said. This runs from northern Namibia around Cape Agulhas and the Transkei margin, to the Durban Basin. Area 2 covers Exploration Right 12/3/276.
Impact said the Brulpadda and Luiperd results had opened this basin and plans for the Venus well in 2021 would test this further. Total will drill Venus in just over 3,000 metres of water, off Namibia. Impact has an interest in the Venus well and has a stake in Brulpadda and Luiperd, via the Main Street 1549 vehicle.
The company said it believes the Southern African Aptian play has a world-class Lower Cretaceous source rock and excellent quality Apto-Albian reservoir sands. Geologically, the setting supports the formation of large stratigraphic traps, it said.
The challenge will be the water depths involved, as with Venus. Impact said Area 2 extends to around 4,500 metres but the most prospective area is around 3,500 metres.
Silver Wave is based in Myanmar. It was awarded acreage in South Africa in 2009 and Area 2 in 2015. Impact and Silver Wave previously struck a deal in 2012, on four blocks in the Tugela area.