No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - Europa Oil & Gas said on Friday that its associated company Antler Global had received approval from Equatorial Guinea's Ministry for Mining and Hydrocarbons Department for its farm-out agreement with Fuhai over the EG-08 production sharing contract.
The AIM-traded West Africa, UK and Ireland-focused oil and gas company said completion of the farm-out remained subject to Overseas Direct Investment approval from the Shandong provincial government.
Europa holds a 42.9% equity interest in Antler, which on completion of the farm-out will hold a 40% working interest in EG-08 and remain operator.
Fuhai will also hold 40%, while the remaining 20% will be held by GEPetrol, the national oil company of Equatorial Guinea, representing the state's interest.
The company said it expected to drill the Barracuda-1 well at the earliest opportunity, anticipated to be in early 2027.
"I am pleased to have received approval from the Ministry and I would like to thank the team at MMHD for their ongoing support as we progress this project to drilling," said chief executive officer William Holland.
"Alongside our partners at Fuhai, we have been working hard to assemble the drilling team needed to spud the Barracuda-1 well at the earliest opportunity.
"Once we have received ODI approval, we will then be able to secure a rig.
"I look forward to updating the market of our progress in due course."
At 1419 BST, shares in Europa Oil & Gas Holdings were up 4.83% at 1.57p.
Reporting by Josh White for Sharecast.com.
See latest RNS on Investegate
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.