VANCOUVER, BC, April 28,
2023 /CNW/ - (TSX: AOI) (Nasdaq-Stockholm: AOI) –
Africa Oil Corp. ("Africa Oil", "AOC" or the "Company") is
pleased to announce that it has participated in a USD 95.0 million Open Offer by Impact Oil &
Gas Limited ("Impact"), the privately–owned, African–focused
exploration company. The capital raised shall be used towards
funding Impact's participating share of the multi-well drilling and
testing programme in Namibia to
further evaluate and appraise the Venus discovery; a world class,
light-oil and associated gas field announced in February 20221. View PDF version.
Africa Oil is the only publicly-listed Independent E&P
company with exposure to the Venus discovery through its strategic
31.1% shareholding in Impact which in turn holds a 20.0%
participating interest share in Block 2913B (PEL 56) and an 18.9% participating
interest share in the adjacent Block 2912 (PEL 91).
The Company has made an investment of approximately USD 31.4 million and following this placement,
Africa Oil's shareholding in Impact has increased to 31.1% from
30.9%. The Company's closing cash balance as at December 31, 2022, was USD
199.7 million.
The proceeds from the Open Offer is intended to be used by
Impact to fund its activities in 2023 including:
- The appraisal and development programme on Block 2913B, in Namibia, following the Venus discovery,
including the appraisal well (Venus-1A) which spud on March 4, 2023, a re-entry of the Venus-1X
discovery well and testing of both wells.
- Exploration activity on the neighbouring Block 2912 to
determine the extent of the Venus discovery, including an
exploration well, Nara-1X, and testing on the anticipated westerly
extension of Venus into the neighbouring block.
If Nara-1X is successful, it will be followed by the Nara-1A
appraisal well and extended 3D seismic survey on this block.
The Company also announces that it has filed a redacted copy of
the Impact Investors' Agreement on SEDAR (www.sedar.com). This
agreement, which Africa Oil is a party to as a major shareholder in
Impact, entitles the Company to certain decision-making controls
over Impact amongst other things.
The Company reports the following share capital and voting
rights update in accordance with the Swedish Financial Instruments
Trading Act. As a result of the exercise of stock options under the
Company's stock option plan, Africa Oil now has 462,320,871 common
shares issued and outstanding with voting rights as at April 28, 2023.
About Africa Oil
Africa Oil Corp. is a Canadian oil and gas company with
producing and development assets in deepwater Nigeria; development assets in Kenya; and an exploration/appraisal portfolio
in west and south of Africa, as
well as Guyana. The Company is
listed on the Toronto Stock Exchange and on Nasdaq Stockholm under
the symbol "AOI".
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1 The
world's largest oil discovery in 2022 according to Wood
Mackenzie.
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Additional Information
This information is information that Africa Oil is obliged to
make public pursuant to the EU Market Abuse Regulation and Swedish
Financial Instruments Trading Act. The information
was submitted for publication, through the agency of the
contact persons set out above, at 05:30 p.m.
ET on April 28, 2023.
Forward Looking Information
Certain statements and information contained herein constitute
"forward-looking information" (within the meaning of applicable
Canadian securities legislation). Such statements and information
(together, "forward looking statements") relate to future events or
the Company's future performance, business prospects or
opportunities.
All statements other than statements of historical fact may be
forward-looking statements. Statements concerning prospective
resource estimates may also be deemed to constitute forward-looking
statements and reflect conclusions that are based on certain
assumptions that the prospective resources can be economically
exploited. Any statements that express or involve discussions with
respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but
not always, using words or phrases such as "seek", "anticipate",
"plan", "continue", "estimate", "expect, "may", "will", "project",
"predict", "potential", "targeting", "intend", "could", "might",
"should", "believe" and similar expressions) are not statements of
historical fact and may be "forward-looking statements".
Forward-looking statements involve known and unknown risks, ongoing
uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such
forward-looking statements.
Although the Company believes that the expectations reflected by
the forward-looking statements presented in this document are
reasonable, the Company's forward-looking statements have been
based on assumptions and factors concerning future events that may
prove to be inaccurate. Those assumptions and factors are based on
information currently available to the Company about itself and the
businesses in which it operates. Information used in developing
forward-looking statements has been acquired from various sources,
including third party consultants, suppliers and regulators, among
others. Because actual results or outcomes could differ materially
from those expressed in any forward-looking statements, investors
should not place undue reliance on any such forward-looking
statements. By their nature, forward-looking statements involve
numerous assumptions, inherent risks and uncertainties, both
general and specific, which contribute to the possibility that the
predicted outcomes will not occur. Some of these risks,
uncertainties and other factors are similar to those faced by other
oil and gas companies and some are unique to the Company.
No assurance can be given that these expectations will prove to
be correct and such forward-looking statements should not be unduly
relied upon. The Company does not intend, and does not assume any
obligation, to update these forward-looking statements, except as
required by applicable laws. These forward-looking statements
involve risks and uncertainties relating to, among other things,
changes in macro-economic conditions and their impact on
operations, changes in oil prices, reservoir and production
facility performance, hedging counterparty contractual performance,
results of exploration and development activities, cost overruns,
uninsured risks, regulatory and fiscal changes, defects in title,
claims and legal proceedings, availability of materials and
equipment, availability of skilled personnel, timeliness of
government or other regulatory approvals, actual performance of
facilities, joint venture partner underperformance, availability of
financing on reasonable terms, availability of third party service
providers, equipment and processes relative to specifications and
expectations and unanticipated environmental, health and safety
impacts on operations. Actual results may differ materially from
those expressed or implied by such forward-looking statements.
SOURCE Africa Oil Corp.