Eco (Atlantic) Oil & Gas Ltd. ("Eco Atlantic" or the "Company") (TSX-V: EOG, NSX: EOG) is pleased to announce that it has received final approval from Namibia's Ministry of Mines and Energy (the "Ministry") for the inclusion of all oil and gas rights on its Skeleton Coast License #31 which is a transition license that is both onshore Huab Basin and extends offshore Walvis Basin. The License, which the Company recently named "Daniel", covers Blocks 2114, 2013B and 2014B. The license originally covered only CBM and Shale rights but now will include all petroleum.
The Daniel Block has an offshore section extending into Walvis Basin that the Company has recently evaluated for oil prospectivity. Colin Kinley, Eco's Chief Operating Officer commented, "The offshore section of Daniel is near shore, however, it has good cover and is on trend with the slope and direction of the source rock, proven in the last two wells drilled by HRT in the basin. The drilling of the Toscanini well four decades ago on the beach section of this block, based on visible oil shows, seems to be consistent with our evaluation of the block. This oil presence was the basis for wild cat drilling of the Toscanini well, and our oil slick study with Fugro further defines oil presence in the basin and the prospectivity on the Daniel new offshore section of the block. We believe further work on the offshore section of this block will prove consistently prospective."
Gil Holzman, Chief Executive Officer of Eco Atlantic commented, "Eco continues with the focused evaluation of our offshore blocks in the Walvis Basin. We have carefully selected and negotiated the addition of the conventional oil and gas rights for the Daniel Block. The recent confirmation of source rock in both of HRT's wells in the basin is in agreement with our exploration science and definitely has increased focus on the Walvis Basin proven oil prospects. We are grateful for the Ministry's approval."
The Company further announces, based on its technical assessment, and in return for the conversion of License #31, the relinquishment of its CBM Exploration License #32, (Block 2418) onshore South East Namibia.