Update on the Angolan Acquisitions

19 October 2022

AFENTRA PLC

Update on the Angolan Acquisitions

Afentra plc (‘Afentra’ or the ‘Company’) provides the following update regarding the previously announced Angolan acquisitions.

Sonangol Acquisition

On 28 April 2022, the Company announced that its wholly-owned subsidiary, Afentra (Angola) Ltd, had signed a sale and purchase agreement (the ‘SPA’) with Sonangol Pesquisa e Producao S.A. (‘Sonangol’) to purchase non-operating interests in Block 3/05 and Block 23, offshore Angola (the ‘Sonangol Acquisition’). As set out in the admission document published by the Company on 10 August 2022, the Sonangol Acquisition is subject to a number of conditions precedent (the ‘CPs’), including the receipt of governmental approvals and the extension of the Block 3/05 Production Sharing Agreement until at least 31 December 2040.

The Company remains in discussion with all relevant parties and expects to finalise the Sonangol Acquisition in Q4 2022, as previously guided. Whilst we remain on track to achieve this timing, satisfaction of the CPs is anticipated to occur after the current long-stop date of 20 October 2022. The Company are therefore pleased to announce it has reached an agreement with Sonangol to extend the long-stop date to 31 December 2022 in order to facilitate satisfaction of the CPs in Q4 2022.

INA Acquisition

On 19 July 2022, the Company announced that its wholly-owned subsidiary, Afentra (Angola) Ltd, had signed an SPA with INA – Industrija Nafte d.d. (‘INA’) to purchase interests in Block 3/05 and Block 3/05A, offshore Angola (the ‘INA Acquisition’). As set out in the admission document published by the Company on 10 August 2022, the INA Acquisition also remains subject to a number of CPs. Given the progress made to date, there is not considered to be any requirement to extend the long-stop date pursuant to the INA Acquisition at this time, as set out in the Company’s admission document.

The Board looks forward to providing shareholders with further updates on both transactions, as appropriate, in due course.

Commenting on the update, CEO Paul McDade said:

“We are pleased to provide this update on the Sonangol and INA acquisitions and remain confident, having engaged with local authorities and counterparties in Angola earlier this month, that the transactions will complete within the previously guided timeline (Q4 2022). On the Sonangol Acquisition, we consider the extension of the long-stop date as a prudent measure to ensure that the conditions precedent can be satisfied within the agreed timeframe. We look forward to completing both transactions and working with Sonangol and the other partners to optimise production and extend the life of these quality, long-life assets.”

For further information contact:

Afentra plc +44 (0)20 7405 4133 

Paul McDade, CEO

Anastasia Deulina, CFO

Buchanan (Financial PR) +44 (0)20 7466 5000

Ben Romney

Jon Krinks

Chris Judd

Peel Hunt LLP (Nominated Advisor and Joint Broker) +44 (0)20 7418 8900

Richard Crichton

Paul Gillam

David McKeown

Tennyson Securities (Joint Broker) +44 (0)20 7186 9033

Peter Krens

About Afentra

Afentra plc (AIM:AET) is an upstream oil and gas company focused on opportunities in Africa. The Company’s purpose is to support a responsible energy transition in Africa by establishing itself as a credible partner for divesting IOCs and Host Governments. Afentra has a current carried interest in the Odewayne Block onshore southwestern Somaliland.

Inside Information

This announcement contains inside information for the purposes of article 7 of Regulation 2014/596/EU (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018) (‘UK MAR’). Upon publication of this announcement, this inside information (as defined in UK MAR) is now considered to be in the public domain. For the purposes of UK MAR, the person responsible for arranging for the release of this announcement on behalf of Afentra is Paul McDade, Chief Executive Officer.