Africa Oil, a Canadian oil company, announced on January 13, 2025, that it has increased its stake in the offshore block 3B/4B, located in the Orange Basin off the coast of South Africa, from 17% to 18%. This move follows an agreement with Azinam, a subsidiary of Eco Atlantic.
In March 2024, Africa Oil had entered into a strategic partnership with TotalEnergies and QatarEnergy to sell part of its interest in the block. The agreement, finalized in August 2024, included an option for Africa Oil to acquire an additional 1% stake. In exchange, the company canceled the shares and warrants it held in Eco Atlantic.
A new balance in ownership
This transaction reshapes the ownership distribution within block 3B/4B. TotalEnergies remains the main operator with 33%, followed by QatarEnergy with 24%, Ricocure with 19.75%, Africa Oil with 18%, and Eco Atlantic with 5.25%. The site, located in a promising area of the Orange Basin, is estimated to hold approximately 4 billion barrels of gross prospective resources, according to a report by RISC Advisory.
Ambitious exploration plans
With this new configuration, Africa Oil and its partners aim to focus on exploring this strategic block. The South African government has issued environmental approval for the drilling of five exploration wells. These efforts are expected to validate the site’s oil potential and attract further investment.
Roger Tucker, CEO of Africa Oil, stated that this acquisition represents a significant step in the company’s strategy to consolidate its key assets. While no details on the drilling schedule have been disclosed yet, this initiative reinforces South Africa’s role in regional energy development.
Strategic context
Block 3B/4B highlights the growing appeal of South Africa’s oil sector. By partnering with major players such as TotalEnergies and QatarEnergy, Africa Oil is contributing to an international effort to diversify energy supplies and develop local resources.
