Block 11B/12B is located in the Outeniqua Basin approximately 175 kilometers off the southern coast of South Africa. The block covers an area of 18,734 square kilometers with water depths ranging from 200 meters in the north to 1,800 meters in the south. The Lower Cretaceous Post-rift Paddavissie Fairway, which contains the Luiperd and Brulpadda discoveries, is located in the southwest corner of the block.
Total’s first attempt to drill the Brulpadda Prospect in 2014 was suspended prior to reaching target due to difficulties experienced by the drilling rig in the harsh deepwater environment. After an extensive review of the surface conditions, Total contracted the Odfjell Deepsea Stavanger semi-submersible rig to drill the Brulpadda-1AX re-entry well, which spud in December 2018.
On February 7, 2019, the Company announced a large gas condensate discovery at the Brulpadda Prospect. The Brulpadda well was drilled in approximately 1,400 meters of water and targeted two objectives in a deep marine fan sandstone system within combined stratigraphic/structural closure. Following success at the main objective, the well was deepened to a final depth of 3,633 meters and was successful in the Brulpadda-deep prospect.
The Brulpadda well encountered oil pay and 57 meters of net gas condensate pay over two Middle to Lower Cretaceous high-quality reservoirs. Core samples were taken in the upper reservoir, and a comprehensive logging and sampling program was performed over both reservoirs. The success at both the Brulpadda primary and secondary targets significantly de-risked other similar prospects on Block 11B/12B.
In March and April 2019, Total acquired 570 square kilometers of 3D seismic with the Polarcus Asima vessel. The first 3D seismic survey covered the Brulpadda discovery and the Luiperd Prospect.
In July 2019, Total executed a drilling contract with Odfjell Drilling for the Deepsea Stavanger semi-submersible rig to return to South Africa and drill the Luiperd-1X well, which spud in August 2020.
In September 2020, the Block 11B/12B joint venture received the fully-processed 2D seismic dataset from Shearwater GeoServices Holding AS for the 7,033 linear kilometer 2D seismic program completed in the first quarter of 2020 on Block 11B/12B. The Block 11B/12B joint venture is conducting a full interpretation and prospect analysis for the eastern part of the block. The technical analysis has identified multiple prospects and leads some of which have potential direct hydrocarbon indicators within the Kloofpadda Play Trend for potential future exploration drilling.
On October 28, 2020, the Company announced a significant gas condensate discovery on the Luiperd Prospect. The Luiperd-1X exploration well was drilled in approximately 1,800 meters of water by the Odfjell Deepsea Stavanger semi-submersible rig to a total depth of about 3,400 meters. The well targeted the hydrocarbons potential in a mid-Cretaceous aged deep marine sequence where fan sandstone systems are developed within combined stratigraphic/structural closure. The well encountered 73 meters of net gas condensate pay over a mid-Cretaceous high-quality reservoir interval and did not encounter the water contact. Following a comprehensive coring and logging program, the Block 11B/12B joint venture conducted a drill stem test (“DST”) to assess dynamic reservoir characteristics and deliverability.
The Luiperd well reached a maximum constrained flowrate through a 58/64” choke of 33 million cubic feet per day of natural gas (“MMcfpd”) and 4,320 barrels of condensate per day (“bcpd”), an aggregate of approximately 9,820 barrels of oil equivalent per day (“boepd”). The choke configuration could not be increased due to surface equipment limitations. The absolute open flow (“AOF”) potential of the well is expected to be significantly higher than the restricted test rates.
In March 2021, the Block 11B/12B joint venture received the final fully-processed merged 3D seismic volume over the Paddavissie Fairway including the 2,305 square kilometer 3D seismic program acquired by Petroleum Geo-Services ASA (“PGS”) in 2020 and the 570 square kilometers of 3D seismic data acquired by Polarcus Limited in 2019. The improved quality of the final fully-processed 3D volume has resulted in significantly higher resolution further reducing exploration risk. The final 3D volume has been integrated with the drilling and testing results to facilitate development studies. The technical analysis has identified multiple additional prospects within the greater Paddavissie Fairway with amplitudes conforming to structure that could be incorporated into any future development scheme.
The Company and its joint venture partners are contemplating an early production system (“EPS”) for a phased development of the Paddavissie Fairway. The EPS would provide first gas and condensate production from the Luiperd discovery and would accelerate the Block 11B/12B development timeline by utilizing existing nearby infrastructure on the adjacent block in order to supply gas to customers in Mossel Bay.
Prior to the expiry of the Block 11B/12B Exploration Right on September 7, 2022, the joint venture partnership submitted an application for a Production Right. The partnership elected to enter a Gas Market Development Period, which defers the field development work program for up to a maximum of five years, allowing the joint venture time to find a suitable gas offtaker and confirm the economic viability of the project. As part of the Production Right application process, TotalEnergies submitted an Environmental Authorization (“EA”) application and prepared a draft Environmental and Social Impact Assessment (“ESIA”). Main Street 1549, appointed operator in November of 2024, submitted a new EA application with a revised project scope on February 28, 2025 and expects to submit a new ESIA in advance of the revised deadline in September of 2025. The approval of the Production Right application will not occur until after the Block 11B/12B joint venture receives EA approval in respect of the revised ESIA.
The Company owns 49% of the common shares and 100% of the Class B shares of Main Street 1549 Pty. Ltd. (“Main Street 1549”), which holds a 10% participating interest in Block 11B/12B offshore South Africa (“Block 11B/12B Participating Interest”). The remaining 51% of the common shares of Main Street 1549 are held by Arostyle Investments (RF) (Proprietary) Limited (“Arostyle”). TotalEnergies EP South Africa B.V. (“TotalEnergies”) holds a 45% participating interest with partners QatarEnergy International E&P LLC (“QatarEnergy”) and CNR International (South Africa) Limited (“CNR”), holding 25% and 20%, respectively.
In July 2024, TotalEnergies provided a notification that it was resigning as operator of Block 11B/12B. In addition, TotalEnergies, QatarEnergy and CNR have provided notice to the joint venture partners that they will withdraw from their 45%, 25% and 20% interest, respectively, in accordance with the joint operating agreement in respect of Block 11B/12B (“JOA”). Under the JOA, the withdrawing parties assign their interest free of charge to each of the non-withdrawing partners in proportion to the interest of non-withdrawing partners. The withdrawal of the joint venture partners from Block 11B/12B is subject to all relevant regulatory approvals by South African authorities.
On May 28, 2025, the Company signed definitive agreements with Arostyle to restructure their joint investment in Main Street 1549, which holds the participating interest in Block 11B/12B. The restructuring will result in the Company owning 100% of the common shares and 100% of the Class B shares of Main Street 1549. The 90% participating interest in Block 11B/12B to be assigned by the withdrawing parties will be assigned 65% to Main Street 1549 and 25% to Arostyle, resulting in the Company (through Main Street 1549) holding a 75% participating interest in Block 11B/12B with Arostyle holding the remaining 25%. The definitive agreements are subject to all relevant regulatory approvals being obtained and remain subject to the fulfilment of certain conditions, including the finalization of the assignment agreements between the Company, Arostyle and the withdrawing parties, which will require regulatory transfer approval under section 11 of the Mineral Petroleum Development Resources Act, 2002.
