(Sharecast News) - 88 Energy announced the awarding of a contract for a 2D seismic acquisition programme for its PEL 93 licence in Namibia on Friday.
The AIM-traded firm said the contract was awarded to Polaris Natural Resources Development.
It described the seismic programme as a crucial step in the exploration process, which it had already paid for as part of its farm-in agreement with Monitor Exploration Namibia, allowing it to earn its initial 20% working interest in PEL 93.
The seismic programme aimed to acquire a minimum of around 200 line kilometres of 2D seismic data, with data acquisition set to start in mid-2024.
It said the data would be instrumental in validating 10 independent structural closures identified from airborne geophysical methods and existing 2D seismic data.
The ultimate goal was to declare a maiden prospective resource, enhancing the understanding of the potential of PEL 93.
Covering a 18,500 square kilometre onshore acreage position comprising blocks 1717 and 1817 in the Owambo Basin, Namibia, PEL 93 reportedly had significant exploration potential.
Through the farm-in agreement, 88 Energy had the opportunity to earn up to a 45% non-operated interest in the licence.
The company also said that the plans of a nearby operator to drill three to four wells in the Owambo Basin, with the first well expected to be spud in mid-2024, represented a significant catalyst for understanding the onshore resource potential in Namibia.
At 1045 BST, shares in 88 Energy were down 0.63% at 0.16p.
Reporting by Josh White for Sharecast.com.
88 Energy (88E)