Europa Oil & Gas launches farm-out offshore Morocco: 2bn barrels of exploration potential

[The SC]

03 Aug 2021

The explorer says it is offering a high-impact exploration opportunity.

Europa Oil & Gas (Holdings) PLC (AIM: EOG) has launched a formal process for the farm-out of a stake in the Inezgane Offshore Permit, an 11,228 square kilometre area offshore Morocco.

The company describes it as a “high-impact exploration opportunity in a highly underexplored area” whilst highlighting that the acreage is on the same geological trend with major oil and gas discoveries along the west coast of Africa.

Europa has to date identified more than 2bn barrels of exploration potential across its ‘top 5’ ranked prospects.

"We are delighted to announce the launch of the Farmout initiative of the Inezgane Licence which represents not only a high-impact exploration opportunity for Europa but also sits comfortably within the company's strategy of creating a balanced portfolio of complementary assets,” said chief executive Simon Oddie.

"The work completed thus far has focused on the top five ranked prospects which each have mean resources in excess of 200 mmboe at the Albian level, with total mean resources in excess of two billion barrels."

“These are extremely positive numbers for the company and we hope to capitalise on the prospectivity demonstrated along this prolific geological trend. I look forward to providing further information in due course."

Europa also said that Morocco offers excellent fiscal terms with a low tax take.

It noted that several major and midcap firms are present in the region including ENI, Hunt, Genel and ConocoPhillips (NYSE:COP).


https://www.proactiveinvestors.co.u...aunches-farm-out-offshore-morocco-956690.html

* A lot of news from Morocco lately..

At the current price of Brent crude, 2 billion barrels are worth 144 billion dollars!!

(Of course this is just a quick and preliminary estimate because there are many factors involved in evaluating the discovered oil reserves, including the ease or difficulty of extraction, the quality of the oil, and the extractable percentage of the total reserves)

There are five exploration sites, one of which has 2 billion barrels, and it can reach several billion in other wells, in addition to promising gas wells.. Morocco without oil and gas is the largest investor in Africa and among the best developing countries ..

 

[The SC]

 

[The SC]

The summary of what is happening is that the excavating company conducted a 2D/3D seismic survey of the area, this survey proved the presence of large quantities of oil, this technology has become very advanced and has great reliability and high accuracy!!

Now the British company EOG is in very advanced negotiations with bigger companies such as BP and Shell to sell a percentage of the license, because drilling wells in the sea is very expensive and EOG cannot afford it alone, and this in itself is evidence of the seriousness of the discoveries, because in the world of oil, Giants like BP and Shell are only interested in any exploration license when it is promising and serious..