E&P

Block CI-27 powers Abidjan in Ivory Coast.

It has been more than a decade since Ivory Coast began thinking on an international scale to capitalise on its rich deepwater resources

This phase involved a complete overhaul of its legacy petroleum laws which were reframed with global investors' interests in focus. Petroleum sharing contracts became the standard default vehicle, generous cost-oil recovery limits were introduced, and profit-oil split brackets and royalty tax structures became clearly defined. 

Global offshore influence

World-class discoveries by Italian major Eni like Baleine and Calao followed soon after, and these deepwater developments of immense scale were achieved in record two years -- a feat previously unheard of. Vaalco Energy brought the Baobab field in Block Cl-40 online early this year with license extension through 2038 for development drilling plans. In May, Viridien started CDI25 -- a seismic reimaging project in the Tano Basin, Ivory Coast, which will be a drill-ready multi-client dataset for explorers. Ivory Coast's offshore influence as a coveted destination for global operators shot up, thanks to its administrative overhaul. 

Banking on this investor-friendly environment, Panoro Energy has been the latest to enter Ivory Coast with the acquisition of DNO's entire 9.09 per cent interest in offshore Block CI-27.

New player in high quality, gas producing Block CI-27

Panoro Energy sees the gas producing block as high-quality and anticipates more than 20,000 boepd from it in terms of group production. It will increase pro forma group production by ~23 per cent and group 2P reserves by ~11 per cent.

As Ivory Coast's largest reserves of non-associated gas, Block CI-27 powers the country's largest city and economic capital, Abidjan. This high profile Block, however, generates yield at a unit cost as low as US$6/boe from four offshore fields (Foxtrot, Mahi, Manta and Marlin) tied back to two fixed platforms.

This entry adds to Panoro's upstream ambitions in Africa, marking the beginning of its long-term interests in Ivory Coast, which might surpass Block CI-27. The Block gives Panoro the perfect gateway to one of Africa's strongest hydrocarbon regions, promising high output at low cost with well managed gas and liquids production and reserves. 

In 2025, Block CI-27 produced 195 MMscfd, meeting more than 70 per cent of the country’s gas demand. Operator, Foxtrot International, has initiated a five well infill drilling campaign for enhanced recovery, sustaining production plateau around the 190 to 200 MMscfd level with scope to increase to around 230 MMscfd dependant on demand.

Gross remaining reserves are estimated at 540 Bscf and 5 MMbbls with a further 380 Bscf and 9 MMbbls of resources offering material reserve replacement and growth opportunities in the future, holding potential to produce well beyond the current PSC term.

Block CI-27 is privately held Foxtrot whose principal business is a 27.27 per cent effective participating interest. DNO CI LLC holds an indirect 33.33 per cent interest in Foxtrot International and therefore an indirect 9.09 per cent interest in the Asset. Other joint-venture partners in the Asset include PETROCI and SECI S.A

Made for a consideration of US$80mn on a cash free / debt free basis, the transaction will be financed through a combination of equity, comprising seven million new Panoro shares for DNO, and debt of a fully placed US$50mn senior unsecured bond issuance.

Diversifying Panoro's African portfolio

“This high-quality acquisition represents a continuation of Panoro’s strongly accretive growth strategy and follows the transformational acquisition of an additional interest in Block G offshore Equatorial Guinea from Kosmos Energy which we announced in February and completed in June 2026. The addition of an indirect 9.09 per cent interest in Block CI-27 offshore Ivory Coast brings material reserves and production to Panoro, while further diversifying our African portfolio both geographically and from a commodity perspective through long-life, gas-weighted production supported by stable, low-volatility pricing and sales arrangements that are de-linked from oil prices.

"Our new entry into Ivory Coast, one of the fastest growing economies in West Africa, is particularly attractive given the country’s strong private investment, structural economic diversification and expanding hydrocarbon sector, all of which provide long-term support for this strategic acquisition and follow-on growth opportunities in country as and when they arise.

"We look forward to establishing an excellent cooperation with the field partners including the operator Foxtrot International, the national oil company of Ivory Coast PETROCI, SECI SA and also the Ministry of Mines, Petroleum and Energy.

"Importantly, this landmark acquisition is accretive for Panoro shareholders on all standard industry metrics and will further enhance our ambition to continue delivering long-term, sustainable shareholder returns,” said Julien Balkany, executive chairman of Panoro. 

Chevron will be assessing the tie-back potential of the discovery.

Chevron Corporation-subsidiary, Cabinda Gulf Oil Company Limited (CABGOC), has discovered oil and gas condensate at the 105-4X exploration well in Block 0 offshore Angola

Drilled in the prolific Lower Congo Basin, the well encountered an oil and gas condensate column of more than 600 meters (2,000 feet) in the primary Pinda reservoir, with more than 90 meters (300 feet) of net pay in excellent reservoir quality. 

In line with its optimised production approach, Chevron will be assessing the tie-back potential of the discovery as the major has existing facilities nearby.

“This discovery is another important milestone for Chevron’s over 70-year history in Angola,” said Kevin McLachlan, vice president - exploration, Chevron. “By combining high-impact exploration with infrastructure-led opportunities close to existing facilities, we are growing our resource base, creating value, and demonstrating that our strategy is delivering, as well as our continued confidence in Angola’s resource potential.”

Block 0 is operated by CABGOC, which holds a 39.2 per cent working interest, and is co-owned by Sonangol E&P (41 percent working interest), TotalEnergies (10 percent working interest) and Azule Energy (9.8 percent working interest).

This discovery will significantly add to Chevron's well-established exploration programme in sub-Saharan Africa, from where it sources a combined production count of 300 thousand barrels of oil equivalent per day net. Existing resource base and active exploration programme across the region is positioned to sustain and grow production into the future.

Over the last year, Chevron has been focussed on selecting high quality exploration acreage from Africa to its existing portfolio. In Nigeria, the company farmed into two offshore blocks last year (PPL2000 and PPL2001) and was awarded a deepwater block PPL2010 in the country's latest bid round. Chevron has also had three near-field exploration successes – Meji NW-1, South Delta AA and Awodi-07 – in Nigeria since late 2024, where it is continuing an ongoing exploration and appraisal program. In Guinea-Bissau Chevron has secured three blocks including the newly acquired Block 4B which closed on 13 August 2026, while in Equatorial Guinea it has secured an additional five-block reconnaissance licenses. 

Aligned with its exploration strategy, Chevron is preparing a high-impact, multi-well exploration programme across the region, including Namibia’s Nabba-1X well on PEL90 before year-end.

These initiatives underscore Chevron's confidence in the region's resource potential and its disciplined approach to building long-term value through high-impact, frontier exploration.

The agreement gives Equinor access to a drill-ready prospect. (Image source: Equinor)

Equinor has stepped into Namibia with the acquisition of a 17.4% participating interest in Petroleum Exploration Licence 90 (PEL 90) in Orange Basin

The strategically secured agreement with Chevron subsidiary, Harmattan Energy, gives Equinor access to a drill-ready prospect that is scheduled for testing this year.

“This transaction aligns with our strategy to strengthen and replenish our international portfolio through focused and disciplined growth. Namibia is a promising basin that adds attractive option value to our portfolio and complements our broader Atlantic Margin position,” said Philippe Mathieu, executive vice president for exploration and production international.

The licence relates to Block 2813B in the Orange Basin, offshore Namibia, and is operated by Chevron. Prior to the transaction, Chevron’s subsidiary owned an interest of 52.5% in PEL 90, with the other partners in the licence being QatarEnergy (27.5%), Custos-subsidiary Trago Energy (10%) and the state-owned oil company NAMCOR (10%).

From Harmattan's end, this seems like a risk diversification move since January when the company had reported no commercial hydrocarbons from the licence's Kapana 1-X exploration well.

Harmattan, however, had acknowledged the data acquired from exploration operations as hopeful in terms of future programmes on PEL 90. “The geologic insights and improved confidence in the future programme on PEL 90 from these operations provides strong support for continued progress and value in our portfolio in Namibia’s Orange Basin,” said Knowledge Katti, chairman and CEO of Custos. 

“We look forward to the many opportunities ahead to further unveil the quality of our unmatched position in the heart of the Orange Basin including the future activity on PEL 90 and the ongoing activity on PEL 83”. added Robert Bose, CEO of Sintana Energy, which enjoys a 49% indirect interest in Custos Energy.

Jarvie-1 rig will drill horizontal sidetrack laterals. (Image source: ReconAfrica)

Reconnaissance Energy Africa has completed vertical production testing on the Kavango West 1X (KW1X) well onshore Namibia, and is preparing to mobilise the Jarvie-1 rig to commence open-hole horizontal production testing operations in the Huttenberg formation, targeting up to 1,000 metres 

The vertical production testing programme helped identify up to two well zones that contained hydrocarbons capable of flowing to surface. Natural gas and potential liquids flowed to surface from the upper Huttenberg as well as the upper Elandshoek zones. While targeting the Huttenberg zone of interest, flow was generated immediately upon perforation, even before subjection to acid stimulation, and was flared through the relief flare stack.

To achieve similar promising results from the four other zones of the well which are considerably shallower than the Elandshoek, open-hole horizontal production test was the best option available to target reservoir section previously untouched by production casing, cement and perforations. Completing the well open hole, without casing or cement, tends to maximise flow from fractures. This decision was reached on the basis of original well log analysis that indicated 75 metres of pay while confirming presence of matrix porosity between large natural fractures with inclinations of 50-90 degrees. These largely vertical fractures need complementing with perpendicularly drilled horizontal wells to hit the sweet spot.

“We are excited to report another critical milestone of the KW1X production test, which is achieving our primary objective of proving the flow of hydrocarbons to surface, this time from the uppermost zone of the Huttenberg formation. The vertical cased-hole phase of testing at KW1X is now complete and with the significant data and technical information gathered from this test, we have a high level of confidence moving forward with an open-hole horizontal production test in the Huttenberg formation.

"Importantly, KW1X's well results do not just validate a single structure; it also opens running room across the block. We have mapped 22 structures using existing seismic data and anticipate the inventory could grow with additional seismic coverage on PEL 73. We also believe our acreage in Angola could add additional structures to our inventory. These results have made critical steps to derisk and open a new play fairway.

Confirming the KW1X results with a flow rate test on a horizontal sidetrack as soon as possible will ultimately support resource and reserve bookings and a final investment decision on this emerging Damara Fold Belt Play," said Reconnaissance's President and CEO, Brian Reinsborough. 

Horizontal development of the Damara Fold Belt structures is also expected to reduce surface land disturbance as well as the number of wells required per structure, resulting in lower field development costs and improved capital efficiency. 

Based on formation imaging log analysis from wells drilled through the Otavi reservoir, the Jarvie-1 rig will drill the horizontal sidetrack laterals near fractures ranging 1.0 to 12.7 per metre running parallel to the fold structure. Two high pressure pumps, a swabbing unit and additional supporting equipment have been procured to effectively initiate the drilling and production testing operations. ReconAfrica has contracted H2OIL to conduct surface operations and provide additional surface equipment, including an appropriately sized separator unit. Halliburton will continue to provide downhole equipment and services.