On 27 September 2019, OK Energy Ltd (OK Energy) is understood to have signed agreements with Shell South Africa Upstream B.V. (Shell) and Kosmos Energy completing the farm out deal for interests in the OK Energy 3 block.   Interests in the 6,930 sq km ultra-deep-water Orange Sub-basin Licence are as follows: Shell 45% (Operator), Kosmos 45% and OK Energy 10%. It's worth noting that the farm in coincides with entry into the first renewal period for the exploration licence. Entering the first renewal required the relinquishment of a portion of the block (the relinquished portion was from the south wester section).   The licence is located to the west of the Orange Deepwater Area (previously held by Shell currently held by Sezigyn) within the Orange Sub-basin. Water depth range from 2,000 m to in excess of 3,000 m.  In late May 2019, reports emerged that OK Energy had entered into an agreement with Shell for an unspecified interest in OK Energyâs OK Energy 3 block (unofficial name). Local sources suggested that Kosmos Energy would also take a stake in the licence (this was confirmed).   The move by Shell and Kosmos seems to be positioning ahead of Totalâs Namibian Venus 1 well (expected to be spudded in Q2 2020). Shell and partner Kosmos may also drill within its adjacent Namibian acreage (PEL 39) in 2020.
OKE is understood to have signed a farmout deal to Shell and Kosmos for the later to each acquire a 45% stake in the 6,930-sq km area in the Orange Basin. Partnership therefore becomes Shell (op) 45%, Kosmos 45% + OKE 10%.