Eco strikes out off South Africa

 London-listed Eco Atlantic reported on November 18 that its Gazania-1 well at block 2B off the coast of South Africa had failed to find commercial volumes of hydrocarbons.

The well, drilled to a depth of 2,360 m, will now be plugged and abandoned, Eco said. The company operates the block with a 50% interest, while partners Africa Energy Corp, Panoro Energy and Crown Energy have 27.5%, 12.5% and 10% respectively.

The companies will undertake detailed analysis of the well result, Eco said, noting that they had applied with South Africa's petroleum agency for production rights for 2B on November 15. Eco plans to spud two more wells at South African block 3B/4B, operated by African Energy, in 2023, and at least one more at the Orinduik block offshore Guyana.

Despite the negative result, Eco said that the gases associated with light oil that were found confirmed the active hydrocarbon system proven by the A-J1 discovery in 1988 extended to the part of the basin where Gazania-1 was drilled. 

"While the well results are obviously disappointing at this location, we remain optimistic for this basin and look forward to continuing our exploration efforts," Eco Atlantic COO Colin Kinley sad in a statement.