Recon Africa TSXV:RECO, OTC:RECAF

Reconnaissance Energy Africa Ltd. has provided an operations update with respect to activities on petroleum exploration licence 73 (PEL 73), onshore Namibia. The company has appointed Gitane De Silva as senior vice-president of ESG (environmental, social and governance), communications and stakeholder relations.

Brian Reinsborough, president and chief executive officer of the company, stated: “We continue to make progress on the drilling of the Naingopo exploration well on PEL 73, onshore Namibia. We have set our last casing point prior to drilling into the Otavi reservoir section. We encountered slower drilling rates in the deeper section of the Mulden formation and experienced tight hole conditions while setting casing, which has caused delays to our original schedule. As part of the planned drilling program, we are switching out the blowout preventer to 10,000 psi [pound per square inch] ahead of drilling deeper intervals. Drilling will commence in the coming days, and we expect soon thereafter to penetrate the primary objective of the Damara fold belt play: the Otavi carbonate reservoir. We plan to be drilling through October before reaching total depth and will disclose well results after thorough analysis of the logs and any obtained fluids. Construction operations are proceeding on schedule to spud the Kambundu exploration well (prospect P). This well is expected to spud following the completion of the Naingopo exploration well.

“Additionally, we are pleased to announce Gitane De Silva will join our team as our new senior vice-president, ESG, communications and stakeholder relations, on Oct. 21, 2024. Gitane is a respected public policy and regulatory leader with over 20 years executive experience at the provincial, national and international levels. She brings deep expertise in the areas of energy, environment, trade and infrastructure. Ms. De Silva’s past roles include CEO of the Canada Energy Regulator, various diplomatic postings, and Deputy Minister of International and Intergovernmental Relations for the province of Alberta. We are excited to have Gitane join us in this role and to be a part of our executive leadership team.”

Exploration activities

The Naingopo well is targeting 181 million barrels of unrisked prospective light/medium oil resources, or 937 billion cubic feet of prospective natural gas resources, on a 100-per-cent working interest basis, based on the most recent prospective resources report prepared by Netherland, Sewell & Associates Inc. (NSAI). The well is targeting to drill to a depth of approximately 3,800 metres (or 12,500 feet) and is expected to encounter five primary Otavi reservoir intervals targeting both oil and natural gas. If successful, the well would be a major play-opening discovery providing access to multiple drill-ready prospects.

Elsewhere on PEL 73, the company continues to make progress in the construction of the access road and the construction of the well pad for the second Damara fold belt exploration well, Kambundu, which is expected to start drilling in late November or early December, 2024. Kambundu is targeting 309 million barrels of unrisked prospective light/medium oil resources, or 1.6 trillion cubic feet of prospective natural gas resources, on a 100-per-cent working interest basis, based on the most recent prospective resources report prepared by NSAI.

The company recently received the environmental clearance certificate (ECC) for the undertaking of a three-dimensional seismic survey operation on PEL 73. This program is expected to be acquired in the first quarter of 2025, targeting the prospective Kavango rift basin play.

RECONAFRICA ANNOUNCES AN OPERATIONS UPDATE

Reconnaissance Energy Africa Ltd. has provided an operations update with respect to activity relating to petroleum exploration licence 73, onshore northeastern Namibia.

Brian Reinsborough, president and chief executive officer, commented: “With the company funded for our multiwell exploration program and the joint venture agreement in place with BW Energy, focus returns to operations associated with the Naingopo exploration well and other activities on PEL 73. The Naingopo well is currently drilling on schedule and on budget to a depth of 1,450 metres, and we will soon be drilling into key targeted intervals. We will continue to drill through key intervals throughout the remainder of the well, which is targeted to complete drilling in early October with results thereafter. We are pleased with the performance of our drilling crew and all the people from our key third party contractors. Elsewhere on PEL 73, we have started construction on the access road leading to Prospect P, our second Damara fold belt exploration well, which is targeted to commence drilling in [fourth quarter] 2024. One year ago this month, I began my journey with the company, during which we have implemented widespread strategic and tactical changes and are currently executing multiple facets of our high-impact exploration program, which we expect to deliver significant value for shareholders.”

Exploration drilling

The Naingopo exploration well has been drilled to a depth of 1,450 metres, with surface casing set at 350 metres and a first casing string set at 1,200 metres. The well has been tracking to drilling depth and well cost estimates, with everything on schedule and plan.

As a reminder, the Naingopo well is targeting 181 million barrels of unrisked prospective light/medium oil resources or 937 billion cubic feet of prospective natural gas resources, on a 100-per-cent working interest basis, based on the most recent prospective resources report prepared by Netherland, Sewell & Associates Inc. The well is targeting to drill to a depth of approximately 3,800 metres or 12,500 feet, and is expected to encounter four primary reservoir intervals targeting both oil and natural gas. If successful, the well would be a major play-opening discovery, providing access to multiple drill-ready prospects.

Elsewhere on PEL 73, the company continues to make progress in the construction of the access road for the second Damara fold belt exploration well, Prospect P, which is expected to start drilling in the fourth quarter of 2024. Prospect P is targeting 309 million barrels of unrisked prospective light/medium oil resources or 1.6 trillion cubic feet of prospective natural gas resources, on a 100-per-cent working interest basis, based on the most recent prospective resource report prepared by NSAI.

<i>Brian Reinsborough, President and CEO commented</i>: “Our operations teams spud the well on July 7, 2024. We are extremely excited to be drilling this high impact Damara Fold Belt well that our technical and operations teams have been planning over the past 11 months, since I joined ReconAfrica. The Naingopo well represents the first well in a multi-well exploration drilling campaign on PEL 73. The well is anticipated to reach total depth of 3,800 metres (12,500 feet), and take 90 days to drill. This is a significant play opening well which may unlock a total potential resource of over 3.1 billion barrels of oil or 18 trillion cubic feet of natural gas based on the most recent prospective resource report prepared by Netherland, Sewell & Associates Inc. (“NSAI”), dated March 12, 2024⁽¹⁾.”