Eco (Atlantic) Oil & Gas Ltd. has announced a significant update regarding its operations on Block 1 in South Africa’s Orange Basin, marking a pivotal step in the company’s strategic offshore exploration endeavours.
In a statement released on May 5, 2025, Eco confirmed the completion of its acquisition of a 75% operated interest in Block 1, a vast offshore area along the maritime border between South Africa and Namibia.
The firm acquired the offshore asset through a farm-in agreement with Tosaco Energy (Proprietary) Limited.
As a result, Eco Atlantic will now operate the block, with the remaining 25% interest intended for transfer to Orange Basin Oil and Gas (Proprietary) Ltd.
Block 1 spans over 19,000 square kilometers in area and is strategically located about 174 kilometres off the coast of South Africa.
It extends westward into deepwater regions of the Orange Basin, which is also attracting investments in neighbouring Namibia.
The block benefits from three legacy exploration wells drilled in the late 1980s by Soekor, South Africa’s former state oil company.
All three wells were part of Soekor’s regional Orange Basin program and offer critical calibration for seismic interpretation and future prospect de-risking.
Extensive 2D and 3D seismic data and well logs in the block show it holds substantial geological potential.
According to Colin Kinley, Eco Atlantic’s CO and co-founder:
“This strategic acquisition of high-quality 2D and 3D seismic, along with historic well logs deliver massive value to the company. This acquisition is currently conservatively estimated to replace US$50-60 million in acquisition costs required for new exploration. The data quality enables us to aggressively pursue subsurface interpretation and prospect ranking immediately.
However, Eco Atlantic has indicated that no additional seismic acquisition or drilling is planned for the initial three-year carried period.
Instead, it will focus on comprehensive interpretation and analysis to inform its exploration strategy.
This development aligns with Eco Atlantic’s broader strategic objectives to expand its footprint in high-impact offshore basins.
The company’s portfolio in the region also includes interests in Block 3B/4B offshore South Africa and assets offshore Namibia, reinforcing its commitment to exploring the hydrocarbon potential of the southern African offshore frontier.
The Orange Basin has attracted significant attention from the global oil and gas industry due to recent discoveries and its prospective resources.
“The Orange Basin asset provides Eco with material exposure across a full-margin basin play ranging from proven, gas-rich inboard sections to oil-prone targets in the deepwater and ultra-deepwater domain,” Kinley added.
In a related development, South Africa’s Western Cape High Court yesterday began hearing a major legal challenge over offshore exploration rights involving TotalEnergies and Shell.
