London-based Tower Resources has received final approval from the Namibia Ministry of Industries, Mines and Energy to complete the farm-out of the PEL96 offshore licence to Prime Global Energies, Tower Resources announced on Thursday.
PEL96 comprises the 1910A, 1911 and 1912B blocks and covers about 23,297 square kilometres in the northern Walvis Basin and Dolphin Graben offshore Namibia, where 2D seismic data has indicated the presence of several prospects in stacked reservoir targets.
The approval is the final condition precedent under the farm-out agreement announced on 10 January 2025, and Tower Resources will now issue a notice of completion to Prime and circulate a draft deed of assignment, novation and amendment to the ministry and its partners, with completion expected shortly.
“We would like to welcome Prime, who we view as a highly favourable partner for PEL96, with substantial technical and financial resources and a track record of operational success. We look forward to working alongside them and our other stakeholders to progress with the work programme offshore Namibia,” said Jeremy Asher, chairman and CEO of Tower Resources.
The company is still awaiting approval for the proposed acquisition by its subsidiary Tower Resources (Namibia) of an additional 5% interest in the licence from local partner ZM Fourteen Investment. Although the delay means the parties are no longer obliged to complete the transaction, discussions are continuing.
Tower Resources is an Africa-focused energy company listed on London’s AIM with exploration. It has production interests in Cameroon, where it is advancing short-cycle developments, as well as Namibia and South Africa, where its activities are focused on exploration.