LEKOIL, NAMCOR to pursue oil producing assets in Africa

Nigerian oil and gas company LEKOIL said that it has entered into a strategic alliance agreement (SAA) with NAMCOR Exploration and Production (NAMCOR E&P) through its subsidiary – LEKOIL Exploration & Production (PTY) Namibia (LEKOIL Namibia).

NAMCOR E&P, a subsidiary of the Namibian national oil company – National Petroleum Corporation of Namibia, is looking to invest capital in the acquisition of interests in well-managed oil producing assets in jurisdictions that are politically stable in order to secure long-term sustainability.

The strategic alliance agreement will make use of the technical capabilities of the respective parties towards the joint assessment and acquisition of low-risk quick-to-production oil and gas assets located across Africa.

Immanuel Mulunga – NAMCOR Managing Director said: “We will greatly leverage from LEKOIL’s wealth of experience in operating and managing oil producing assets, as well as its deep knowledge of key African markets.

“At the same time, I believe LEKOIL will benefit from strategic commercial relationships that NAMCOR, as a national oil company, enjoys with a number of oil majors.”

LEKOIL claims to have a long-standing history in Namibia with its stake of 80% in LEKOIL Namibia, which gives an entitlement to 90% of income distributed by the subsidiary.

In the past, LEKOIL Namibia held a participating interest of 77.5% in a couple of Namibian offshore exploration concessions – Blocks 2514A and 2514B and is said to have continue having a strong relationship with NAMCOR.

Lekan Akinyanmi – LEKOIL CEO said: “We are excited by this opportunity to work with NAMCOR again in evaluating and subsequently investing and developing high value assets within Africa. We look forward to benefitting from the synergies of this partnership as we share our considerable technical experience in oil and gas development and production in Africa.”