The oil and gas sector delivered a mix of exploration progress and balance-sheet repair on Monday, with Block Energy's partner-funded Georgian seismic campaign leading a session that also saw Getech swing to profitability, Predator Oil & Gas spud a key Moroccan well, Contango Holdings (AIM:CGO) clear its investor loans and an Upland Resources (LSE:UPL)-backed venture begin drilling in Wyoming.
Aspect Georgia funds Block Energy's $95m Martkopi seismic push
Block Energy (AIM:BLOE), the AIM-listed operator with assets in Georgia and offshore Gabon, has pushed its 3D seismic survey over the Martkopi Terrace prospect within licence XIQ to roughly 70% complete. The programme, part of Block's Project IV portfolio, began recording in August and is on track to finish by mid-October, with shares in the company trading at 0.965p, down 1.03% on the day.
Martkopi Terrace carries an independent 2023 assessment from DeGolyer and MacNaughton of 301.7m barrels of oil equivalent in mean unrisked recoverable prospective resources. Of the 4,729 source points acquired by mid-September, 4,534 used Vibroseis and 195 used explosive sources, with explosive-source acquisition still under way. The survey has logged 68,676 cumulative man-hours without a lost-time incident, and forms the obligatory portion of an approximately $95m staged seismic and drilling work programme that Aspect Georgia, which farmed into licence XIQ in January and can earn up to a 75% working interest, rising to 92.5% through further payments, may fund in full.
"Crucially, the campaign forms part of an approximately US$95 million staged programme that would be fully funded by Aspect Georgia if Aspect enters into the drilling phase. This preserves Block's capital while providing shareholders with retained exposure to a potentially transformational outcome," said Christopher Brown, Technical Director.
The arrangement lets Block retain full economic exposure to a potentially significant discovery while a well-funded partner absorbs the acquisition, exploration, appraisal and early production costs. For a company of Block's size, that structure, capital preserved, upside intact, is the material story: the seismic percentage-complete figures matter less than the fact that Aspect, not Block's own balance sheet, is carrying the financial risk through to a drilling decision. Processing and interpretation of the completed dataset will follow, sharpening the structural picture of Martkopi Terrace ahead of future well locations.
Getech swings to EBITDA profit as revenue climbs 15%
Getech Group (AIM:GTC), the subsurface data and software supplier serving oil, gas and mineral exploration, reported revenue of £2.4m for the six months to 30 June, up 15% on the £2.1m booked a year earlier. Shares in the company rose 2.041% to 2.5p as the group swung to an adjusted EBITDA profit of £0.2m, reversing a £0.1m loss in the same period last year.
Net cash generated from operations came in at £0.9m, against an outflow of £0.3m in H1 2025, lifting the closing cash balance to £0.6m from £0.2m at the start of the year. The contractually committed order book grew to £4.7m by the end of August, up from £4.0m at 30 June and £3.8m at the end of December, while annualised recurring revenue rose to £3.0m from £2.8m. A three-year Globe subscription renewal with a state-backed Asian offshore oil and gas producer, worth roughly £520,000, delivered a 28% uplift on its previous term.
The combination of order-book growth, rising recurring revenue and a return to positive operating cash flow marks a turn in Getech's trajectory after a period of thinner margins. "The Board remains confident that Getech will build on current momentum as it executes its growth strategy," said Michael Covington, Chairman, a statement the numbers, for now, support.
Predator Oil & Gas begins drilling at Morocco's MOU-6 well
Predator Oil & Gas Holdings (LSE:PRD), the Jersey-based operator with producing and exploration interests in Trinidad and Morocco, started drilling the MOU-6 well in Morocco on 19 September, with operations expected to last up to 20 days. Shares eased 1.49% to 3.3p as the market awaited results. MOU-6 targets the structure already penetrated by the MOU-1 and MOU-3 wells, which the company regards as its best hydrocarbon prospect and its focus for further appraisal.
Predator has pointed to high Moroccan gas prices, favourable fiscal terms and proximity to existing gas export infrastructure as underpinning a scalable development path, beginning with compressed natural gas or micro-LNG production before building toward connected volumes and sustained reservoir plateau rates. The company says it remains committed to partnering with entities capable of supporting a future development decision, with interest already evidenced through a Collaboration Agreement and Memorandum of Understanding.
A successful MOU-6 result would firm up the appraisal case for what Predator has flagged as its strongest Moroccan asset, moving the project a step closer to a monetisation route via CNG or micro-LNG rather than pipeline-scale infrastructure, a lower-capital path that suits the company's balance sheet.
Contango Holdings clears all investor loans
Contango Holdings (AIM:CGO) has settled all outstanding investor loans following receipt of a £5m subscription on 27 August. The AIM-listed coal mining company, which operates the Muchesu coal-to-energy project in Zimbabwe, said the repayment has significantly strengthened its working capital position and now expects to be funded through to mid-2027 without further external support.
The company also anticipates an additional $2m royalty payment by the end of 2026, which it says would position it to pay a maiden dividend to shareholders. Contango plans to file its audited accounts for the year ended 31 May by the end of September, in line with its Listing Rules obligations.
Clearing investor debt removes a persistent overhang on the balance sheet and extends Contango's funding runway by close to two years, giving management room to focus on Muchesu's ramp-up rather than near-term refinancing.
Upland Resources-backed LSOG spuds deep well in Wyoming
Lost Soldier Oil and Gas has started drilling its third Wyoming well, targeting a deeper high-pressure gas zone as Upland Resources' (LSE:UPL) partner moves toward first production. Shares in Upland traded at 2.8p.
The well extends LSOG's drilling programme in the region and represents a further step toward establishing production, with Upland retaining exposure to the outcome through its backing of the venture.
