document: As announced on 2 July 2018, SOCO International plc (SOCO) entered into a sale and purchase agreement (SPA) with Quill Trading Corporation (QTC) and WMLC Resources Limited (WMLC) to sell its entire shareholding in SOCO Cabinda Ltd. QTC and WMLC will pay SOCO up to USD 5 million for SOCOâs 85% stake in SOCO Cabinda (holds a 22% interest in the Cabinda North Block).Â  The completion of the SPA is conditional upon customary approvals. The long stop date is 31 July 2018.   The interests in the licence upon close of deal will be ENI (operator) with a 48% interest, Sonangol P&P with a 20% interest, SOCO Cabinda with a 22% interest (held entirely by QTC and WMLC) and Angola Consulting Resources with a 10% interest.  Itâs worth noting that QTC already holds an interest in SOCO Cabinda.  Background Information  In late 2017, Eni took over operatorship of the 2,400 sq km Cabinda Norte block (formerly Cabinda A) located in the north of Angola, adjoining the Congo Brazzaville border. The Cabinda onshore area is underlain by a graben separated from the main Atlantic rift by a basement high. The graben, known in Democratic Republic of Congo (DRC) as the Lemba Trough, has its own kitchen, and is a proven oil play in Cabinda and in DRC. In the sixties Chevron, then Gulf, explored extensively in the area and drilled an estimated 69 wildcats and four outposts in the 4,625 sq km area which is now under license. Gulf made one gas and five oil discoveries considered marginal at the time, an additional seven wells had oil shows. New exploration techniques (3D and much improved 2D seismic), better geological models and new concepts, and the excellent wildcat coverage for calibration of the models, have all contributed to the understanding of the area and itâs prospectively.
summary: Quill Trading Corp and WMLC Resources acquired 22% non-operating interest in the Cabinda Norte (2151kmÂ²) block from Soco for up to US$5 MM.