Europa Oil & Gas (Holdings) (AIM:EOG), the AIM-listed oil and gas explorer reported that the Ministry of Hydrocarbons and Mining Development for Equatorial Guinea has granted a 12-month extension to the first exploration sub-period of the EG-08 production sharing contract, under Article 26 of the Hydrocarbons Law.
The sub-period had been due to expire on 4 October, and the ministry has confirmed the contractor met its obligations up to that date, with the PSC and its rights continuing uninterrupted.
The extension buys time to complete the farm-out agreement with Fuhai (Beijing) Energy and to prepare for drilling the Barracuda well, now expected in the first half of 2027.
Europa holds a 42.9% equity interest in Antler Global, which in turn holds an 80% working interest in EG-08, alongside a 20% state interest held by Compañía Nacional de Petróleos de Guinea Ecuatorial (GEPetrol).
The farm-out to Fuhai cleared approval from Equatorial Guinea's Ministry for Mining and Hydrocarbons Department in May, but still awaits Overseas Direct Investment clearance from the Chinese government, a step Europa has repeatedly flagged as the pacing item behind the delayed Barracuda spud, which was originally targeted for late 2026.
The EG-08 block holds an internally estimated 2.2 trillion cubic feet of gross prospective resources on a mean basis, with the Barracuda prospect itself estimated at 878 billion cubic feet.
