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 approximately 18,734 square kilometers with water depths ranging from 200 meters in the north to 2,000 meters in the south. The Lower Cretaceous Post-rift Paddavissie Fairway, which contains the Brulpadda Prospect, is located within 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. Since then, the operator has worked hard to identify the best solution to re-enter and drill the Brulpadda-1AX well in strong ocean currents. In July 2017, Total contracted Odfjell Drilling’s Deepsea Stavanger rig to re-enter Brulpadda-1AX as early as 2018.
The Brulpadda Prospect is at a water depth of 1,431 meters. The exploration well will test the southern Outeniqua Basin within the Paddavissie Turbidite Fan Complex. The well is expected to be drilled to a target depth of approximately 3,500 meters. The prospect has been de-risked with 2D seismic and electromagnetic surveys. Four additional prospects have been defined within the fairway. In total, the five prospects have multi-billion barrel resource potential. These prospects have clear amplitude anomalies with excellent structural conformance and flat spots indicating presence of hydrocarbons.
The Paddavissie Turbidite Play covers an area in excess of 2,000 square kilometers and is a similar play to the much smaller Oryx and Sable Complexes located to the northwest in the adjacent Bredasdorp Basin. These complexes contain stratigraphically and structurally trapped oil and gas within excellent reservoir quality channel sandstones that form feeders to the outboard Paddavissie Fan Systems. Source rocks in the fetch area comprise both mid-Aptian and Hauterivian shales that entered maturity in early Tertiary and are presently within the main stage of oil generation.
Africa Energy holds an effective 4.9% interest in the Exploration Right for Block 11B/12B. The Company owns 49% of the shares Main Street 1549 Proprietary Limited which has entered into farmout agreements with Total E&P South Africa BV ("Total"), a wholly-owned subsidiary of Total SA, and CNR International (South Africa) Limited ("CNRI"), a wholly-owned subsidiary of Canadian Natural Resources Limited, to acquire 5% from each for an aggregate 10% participating interest in Block 11B/12B. Subject to South Africa Government approvals, Total as operator will hold a 45% participating interest in Block 11B/12B, leaving Qatar Petroleum and CNRI holding 25% and 20%, respectively.
* Closing of the Block 11B/12B farmin transactions is subject to standard conditions for a transaction of this type, including approval of the South African government and the TSX Venture Exchange.