Europa Oil & Gas (Holdings) plc has again extended the farm-out deadline for a 40% interest in the EG-08 production sharing contract (PSC) offshore Equatorial Guinea, following delayed Chinese approval.
Associated company Antler Global Ltd signed the agreement with Fuhai (Beijing) Energy Ltd, a subsidiary of Fuhai Group New Energy Holding Co.
Europa said that the new Chinese regulations on outbound investment from 1 July 2026, had affected the speed of approvals, and outbound direct investment (ODI) applications were taking longer than expected.
The initial long-stop of 31 July is now extended by the parties to 30 September 2026, while Fuhai awaits approval from Beijing, which has requested additional data.
“However, the MDRC [Municipal Development and Reform Commission] have indicated that the Fuhai application continues to be processed and is expected to be approved shortly,” added Europa.
“Despite the delay in ODI approval the company still expects to drill the Barracuda-1 well at the earliest opportunity, which is expected to be during early 2027.”
The PSC lies in the shallow waters of the Douala Basin and contains three “high-graded” prospects across 731 km2.
Europa states that the combined volumes are estimated at mean prospective resources of 1.3 trillion cubic feet of natural gas equivalent (CFe), comprising gas and liquids.
The company holds a 42.9% equity interest in operator Antler which, on completion of the farm-out, will own a 40% working interest; Fuhai will also hold 40%; and national oil company Guinea Equatorial de Petróleos (GEPetrol) will hold 20%.