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Pancontinental Energy (ASX:PCL) receives extension for Namibian exploration licence

ASX News, Energy
ASX:PCL      MCAP $154.5M
14 June 2022 10:57 (AEDT)

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Pancontinental Energy (PCL), through its subsidiary Pancontinental Orange, has received an extension for its Petroleum Exploration Licence 87 (PEL 87) in offshore Namibia.

The company and its joint venture (JV) partners have had the initial exploration period for the licence extended by one year.

This one-year extension can be followed by three additional two-year periods for Pancontinental to undertake additional exploration work such as drilling.

PCL said the deed was signed by the Minister of Mines and Energy of Namibia, Tom Alweendo, as well as the PEL 87 JV partners, Custos Investments and Namcor, the national oil company of Namibia.

PCL’s Technical Director, Barry Rushworth, said recent discoveries in the PEL 87 area by oil and gas giants TotalEnergies and Shell had put Namibia on the map as a potential “major new world oil province”.

“The extension means that we have more time to properly assess these major oil discoveries and to apply the knowledge to PEL 87,” Mr Rushworth said.

“As operator, Pancontinental will continue to move PEL 87 activities ahead alongside our joint venture partners Custos and Namcor.”

PEL 87 is a large exploration area of around 10,970 square kilometres in water depths of 500 to 3000 metres.

PCL shares were trading grey at 0.5 cents at 10:26 am AEST.

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