On 11 November 2019, Genel Energy plc reported that the deal to acquire East Africa Resource 25% stake in the SL10B, SL13 licence has been completed. Genelâs acreage is located onshore within the Somali and Sagaleh basins. In early November 2019, the company appointed Stellar Energy Advisor to run the farm-out process. The interpretation of the 2018 2D seismic data together with continued basin analysis has led to the maturation of a prospects and leads inventory for the SL10B, SL13 licence. A number of potentially high impact exploration targets have been identified within play types directly analogous to the prolific Yemeni rift basins. The SL10B, SL13 licence contains the Bur Dab 1 well, which found oil shows in 1958.  Genel acquired a total of 3,150 km of speculative 2D data over the SL-10B, SL13 and neighbouring Odewayne licences. The portion over the SL-10B, SL13 was completed in January 2018, while the portion over the Odewayne block was completed in October 2017. The acquisition started in March 2017 and was conducted by the contractor BGP Inc. The survey was part of a Somaliland-owned speculative 2D seismic project. Genel purchased the seismic data covering its onshore acreage, which fulfilled its minimum work obligations.  A surface oil seep study completed in 2015 supposedly confirmed the presence of a working hydrocarbon system with Late Jurassic source rocks and several potential reservoir/seal pairs. Genel believes that all its acreage in Somaliland could host over 2 Bbbl of oil.     Interest in the SL10B, SL13 licence is held solely by Genel Energy plc.  The Republic of Somaliland is bordered by Ethiopia in the south and west and it is located in northern Somalia. Somaliland remains internationally unrecognized but is considered economically stable and democratic. Somaliland declared independence from Somalia in 1991.    Contact details    Mike Adams    Head of Africa Exploration    Tel: +44 (0) 20 7659 51 43    Email: mike.adams@genelenergy.com    Â     John Fisher    Principal Geoscientist    Tel: +44 (0) 20 7659 51 38    Email: john.fisher@genelenergy.com    Â     Background Information    Recent licence history    Genel Energy plc (Genel) was awarded an exploration licence for onshore blocks SL-10-B and SL-13 in Somaliland in August 2012 (with 75% working interest in both). Genel was further awarded a 50% participating interest in the Odewayne PSA in November 2012. The Odewayne PSA covered former blocks SL-6, SL-7, SL-10A.    On 5 August 2016, partner Sterling Energy announced that the Somaliland government had awarded a further two-year extension to the current exploration period of the Odewayne production sharing agreement (PSA). The PSA will last until 2 November 2018, with an option to extend it by subsequent 18-month (fourth period), one-year (fifth period) and one-year (sixth period) extensions to a maximum of 2 May 2022. According to Sterling, minimum work obligations for the exploration periods remained unchanged - namely the acquisition of 500 km of 2D seismic during the third period and the acquisition of 1,000 km of 2D seismic and one exploration well during the fourth period.    Recent exploratory works    Genel completed a gravity and aeromagnetic campaign over its total 40,300 sq km acreage in Somaliland in early 2013.     Genel has been planning a 1,500 km 2D seismic survey over the Odewayne block since May 2013, however it has been delayed a number of times. Seismic operations in Somaliland were temporarily suspended due to deterioration in the security environment in 2014. Back then, Genel and other companies were waiting for the announced Oil Protection Unit (OPU) to become operational. OPU is a trained and equipped security force implemented by the government of Somaliland to support international oil companies in their exploration campaigns.     Odewayne geology    The Odewayne block (which was formerly known as Block 26) is located in the Nogal Uplift (Somali Basin). It was informally referred as the âHabra Garhajis Blockâ and it was held by Japan-based Petrosoma (an affiliate company of Prime Resources) until November 2012.The Odewayne block reportedly contains nine independently verified oil seeps typed to light oil-condensate hence a working hydrocarbon system may exist. The geology of the Nogal Uplift basin (also reported as Habra-Garhajis) is expected to be very similar to the producing basins of Yemen.    A few kilometers north of the Odewayne licence, within the contiguous Guban Basin, the Dagah Shabel exploration/appraisal wells (DS 1, DS 2 and DS 3) found heavy oil in the late 50âs.
Genel has increased its participation in the SL10B / SL13 block to 100% through the acquisition of East Africa Resource Group's 25%.