Eco Atlantic to acquire JHI, expanding Falklands and Guyana exposure

Eco Atlantic Oil & Gas ( (TSE:EOG) ) has issued an update.

Eco Atlantic Oil & Gas has agreed to acquire the remaining shares of JHI Associates in an all-share deal valued at about US$52–63 million, giving Eco full ownership of JHI’s 35% stake in Falkland Islands licence PL001 and 17.5% in the Canje Block offshore Guyana, subject to a potential licence extension. The transaction, which will see JHI investors own roughly 21.8% of Eco on closing, deepens Eco’s Atlantic Margin portfolio, adds a new country entry in the Falkland Islands alongside operator Navitas, and provides carried exposure to near-term drilling next to the Sea Lion development, positioning the company for development-led growth with reduced upfront capital risk.

Through JHI, Eco gains a strategically located position in PL001, adjacent to Navitas’ Sea Lion field that is targeting first oil in 2028 and underpins extensive infrastructure that could enhance the commerciality of PL001 via future tie-backs. The parties are working with the Falkland Islands Government on a five-year extension of PL001, a key condition of the deal, while the Canje Block, north of Guyana’s prolific Stabroek trend, remains subject to ongoing extension talks, offering additional upside if renewed and reinforcing Eco’s strategy of building a diversified, basin-scale Atlantic Margin footprint.

More about Eco Atlantic Oil & Gas

Eco Atlantic Oil & Gas is a Toronto-listed oil and gas exploration company focused on offshore Atlantic Margins, with existing assets in Namibia, South Africa and Guyana. The Group targets high-impact exploration and development opportunities in emerging hydrocarbon basins, partnering with larger operators to progress prospects while managing capital exposure for its shareholders.

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