Oil and gas explorer Invictus Energy (ASX: IVZ) has announced a maiden prospective resource for its 80%-owned Cabora Bassa gas and condensate project in Zimbabwe.
The Africa-focused company emerged from a trading halt this morning to reveal an independent assessment has estimated a “giant” recoverable potential of 850.1 million barrels of oil equivalent, consisting of 3.9 trillion cubic feet of gas and 181.1 million barrels of condensate (on a gross mean unrisked basis).
As Invictus holds an 80% operating interest in the project, this gives the company a net prospective resource of 680MMbboe.
According to Invictus managing director Scott Macmillan, the size of the primary Upper Angwa target alone in the Mzarabani prospect places the project in “giant-scale field potential”.
“This estimate excludes the additional prospective horizons above and below the Upper Angwa in the Mzarabani structure as well as further plays and leads within the SG 4571 [permit] area, which have the potential to add material prospective resources to the Cabora Bass project,” he said.
“The high side estimate of over 2.2 billion boe gross is enormous and confirms Mzarabani as potentially the largest undrilled seismically defined structure onshore Africa,” Macmillan added.
Invictus is currently conducting ongoing 2D seismic reprocessing and interpretation work at Cabora Bassa.
Following on from this work, a final independent prospective resource report is expected to be delivered early next year, which will incorporate the entire SG 4571 permit area.
The company is also continuing geological and geophysical studies on the area including additional basin modelling and a further resource estimate.
This work is expected to lead into a planned marketing program to attract a farm-out partner, Invictus stated.
Macmillan said the technical work program “continues to highlight the enormous potential of the world-class Mzarabani prospect”.
“We look forward to maturing the additional potential within our acreage and continue to build on our significant resource inventory,” he said.
The Mzarabani prospect was first defined by Mobil in the early 1990s through seismic, gravity, aeromagnetic and geochemical data.
Invictus was formerly known as Interpose Holdings with the ASX ticker code “IHS” before changing its name and code in June.
This followed Interpose’s April 2018 buyout of Perth-based incorporated company Invictus Energy Resources, which held an 80% stake in the Cabora Bassa project.
For the acquisition, Interpose had agreed to pay US$500,000 plus completed a heavily oversubscribed $4.5 million capital raising to fund an exploration program on the permit.
Invictus shares soared almost 66% to $0.068 following the maiden resource announcement and resumption of trade. By early afternoon, shares were sitting at $0.052 – 26.83% up.