Africa Energy Corp. ("Africa Energy" or the "Company") announces that CNR International (South Africa) Limited ("CNR") has provided notice to the joint venture partners that it will withdraw from its 20% interest in accordance with the joint operating agreement in respect of Block 11B/12B, Offshore the Republic of South Africa ("JOA").
Under the JOA, the other parties to the joint venture may advise whether or not they will also withdraw within 30 days. Withdrawing parties assign their interest free of charge to each of the non-withdrawing partners in proportion to the interest of non-withdrawing partners.
The Company has been advised that TotalEnergies EP South Africa B.V. is currently reviewing its options with regards to its 45% interest in Block 11B/12B in accordance with the JOA.
The Company, through its investment in Main Street 1549 Pty Ltd., which currently holds a 10% interest, does not intend to withdraw from its interest in Block 11B/12B. The Company believes that natural gas will play a critical role in South Africa's energy transition, and the use of indigenous gas from the Block 11B/12B discoveries are currently the most material domestic supply option in South Africa.
CNR's withdrawal from its 20% interest is subject to all relevant regulatory approvals by South African authorities.
