Zenith Energy has signed a joint venture agreement with a local Congolese oil company for the potential acquisition of an onshore oil production license in the Kouilou region, according to a press release.

Under the terms of the agreement, Zenith and its local partner will jointly submit an application to the relevant authorities for the award of a new license. Furthermore, Zenith will be the joint operator and majority partner in the event that a new license is successfully obtained. 

Speaking on the asset, Andrea Cattaneo, CEO of Zenith, said: “The potential acquisition has two key qualities that render it highly compatible for our portfolio: near-term profitable production potential and significant development potential to progressively maximize production on account of the potentially highly significant oil reserves in place which will require independent evaluation under Canadian National Instrument 51-101.”