88 Energy upbeat on PEL 93 initial seismic data

(Sharecast News) - 88 Energy announced the initial interpretation of 2D seismic data for its PEL 93 exploration licence in Namibia's Owambo Basin on Tuesday, which were processed by Monitor Exploration and confirmed 10 independent structural leads.

The AIM-traded firm said the seismic data revealed multiple structural closures in the southern area of the licence, with some individual leads spanning about 100 square kilometers and showing prominent vertical relief.

It said the leads demonstrated clear hydrocarbon charge potential, supported by source rocks beneath the prospects and in the northern kitchen area.

The findings reinforced the licence's potential as a promising exploration opportunity.

PEL 93, covering 18,500 square kilometers, is operated by Monitor Exploration, which holds a 55% working interest.

88 Energy, through its subsidiary, holds a 20% stake, with the option to increase it to 45% under the 2024 work programme.

Other stakeholders included Legend Oil Namibia at 15%, and Namibia's national oil company Namcor at 10%.

88 Energy said further analysis would integrate well log data, airborne geophysics, soil geochemistry, and seismic results, with a prospective resource estimate expected by the first half of 2025.

Early findings suggested an active petroleum system, supported by ethane concentrations in soil samples and passive seismic anomalies aligning with the identified structural closures.

Future work could include additional 2D seismic acquisition, particularly over newly-identified leads, before advancing to a single well commitment as part of the exploration programme.

The next steps remained subject to exploration outcomes, government approvals, and joint venture agreements.

At 1537 GMT, shares in 88 Energy were down 5.55% at 0.09p.

Reporting by Josh White for Sharecast.com.