Australian Stock Exchange (ASX) listed oil and gas exploration junior Invictus Energy has terminated a farm-in agreement for its Muzarabani oil and gas project.
The company announced that the non-binding deal on December 22, 2020. Invictus said it had been unable to complete due diligence on the counterparty and talks have ended.
The Australian oil and gas exploration junior upon announcing the farm-in agreement last year said the farm-in offer was subject to completion of further technical, legal, and commercial due diligence by both parties, approvals, and agreements by the Government of Zimbabwe and execution of the binding farm-out agreement(s).
“Further to the announcement on 22 December 2020, the nonbinding farm-in agreement has been terminated. Invictus was unable to satisfactorily complete the required transaction due diligence on the counterparty and the parties have ceased discussions. The Company continues to engage with additional interested parties,” the company said.
The Company’s near-term focus is completing the seismic acquisition program announced to the ASX on 25 June 2021, which is expected to conclude approximately at the end of Q3.
The camp construction and the local recruitment campaign for 120 field crew is being finalised ahead of the imminent commencement of the program.
The company earlier this year said it will invest between US$15 million and US$30 million towards drilling at least one oil and gas exploration well, likely before the end of the year.
The area being explored by Invictus was previously explored by Mobil in the early 1990s, stretching from Victoria Falls to the eastern border with Mozambique with Invictus being the only entity to do so since Mobil.
Invictus Energy Ltd is an independent oil and gas exploration company focused on high-impact energy resources in sub-Saharan Africa. Our asset portfolio consists of a highly prospective 250,000 acres within the Cabora Bassa Basin in Zimbabwe. Special Grant 4571 contains the world-class multiTCF Mzarabani and Msasa conventional gas-condensate prospects.
About Invictus Energy
Invictus Energy Ltd is an independent upstream oil and gas company listed on the Australian Securities Exchange (ASX: IVZ). The Company is headquartered in Perth, Australia, and has offices in Harare, Zimbabwe.
Invictus is opening one of the last untested large frontier rift basins in onshore Africa – the Cabora Bassa Basin – in northern Zimbabwe through a high-impact exploration program.
The Company’s principal asset is SG 4571 located in the Cabora Bassa Basin in Zimbabwe which contains the world-class Mzarabani prospect – the largest undrilled prospect onshore Africa independently estimated to contain 8.2 Tcf and 247 million barrels of conventional gas condensate (gross mean unrisked basis).
Invictus Energy is committed to operating in a safe, ethical and responsible manner, respecting the environment, our staff, contractors, and the communities in which we work.