MercoPress. South Atlantic News Agency

Falklands’ oil industry expansion, Navitas to farm adjacent Sea Lion development

“We are encouraged to see a further strengthening of our relationship with Navitas, this time through our holding in JHI”, Gil Holzman, president and chief executive of Eco Atlantic Oil & Gas.

Eco (Atlantic) Oil &Gas Ltd, the Canadian exploration company focused on the offshore Atlantic Margins, announced that Navitas Petroleum LP (“Navitas”), with whom Eco signed a Framework

Agreement related to several assets, has signed a non-binding agreement to farm into an offshore exploration license in the North Falklands Basin adjacent to its recently sanctioned Sea Lion oil development, as the operator advances plans to expand its footprint in the region.

 

Eco (Atlantic) Oil & Gas explained in an official release that Navitas has entered into a non-binding memorandum of agreement with JHI Associates for a farm-in to acquire a 65% working interest in the PL001 license, where Eco holds a 6.6% interest through its stake in JHI.

 

PL001 lies next to the Sea Lion oil field, which reached final investment decision in December after approval from both Navitas and partner Rockhopper Exploration, and follows regulatory approval of the field development plan by the Falkland Islands Government.

 

The PL001 license covers about 1,126 square kilometers in around 500 meters of water depth and contains what JHI estimates as 3.1 billion barrels of oil across multiple prospects and leads, according to Eco (Atlantic) Oil & Gas.

 

The acreage includes Lower Cretaceous prospects analogous to Sea Lion, including Tyche, Dinlas, Rhea, Chatham and Selene.

 

PL001 is set to enter an optional 10-year third exploration phase from January 1, 2027. Among the license’s key prospects, Tyche and Dinlas are each considered potential recoverable targets of about 400 million barrels, with characteristics similar to Sea Lion.

 

“We are encouraged to see a further strengthening of our relationship with Navitas, this time through our holding in JHI. As part of our Strategic Partnership with Navitas, technical and commercial discussions in relation to our projects in both Guyana and South Africa are continuing and we look forward to keeping the market updated,” said Gil Holzman, president and chief executive of Eco Atlantic Oil & Gas.

 

Sea Lion is operated by Navitas with a 65% working interest alongside Rockhopper’s 35%. An independent resource report by Netherland, Sewell & Associates in June 2025 estimated full-field 2C resources of 917 million barrels, including 321 million barrels net to Rockhopper, with 255 million barrels classified as development pending. NSAI assessed the NPV10 of Rockhopper’s 255 million barrels at US$ 1.85 billion based on a US$ 70 Brent oil price.

 

Phase 1 of Sea Lion is expected to target 170 million barrels with peak production of around 50,000 barrels per day and first oil planned for 2028. Phase 2 is expected to recover a further 149 million barrels.

 

Following the Sea Lion FID, Navitas has signed key commercial contracts including an FPSO charter, drilling rig agreements and SURF engineering, procurement and installation contracts.

 

Last month, Navitas Petroleum Development and Production, a UK subsidiary of Navitas, made the final investment decision on the Sea Lion Development. Phase one of the project will see significant progress throughout 2026.

 

This initial phase involves drilling 11 subsea wells connected to a redeployed floating production, storage and offloading vessel. Phase two will introduce an additional 12 wells, which are set to be completed within three years of achieving first oil.

 

In December 2025, Eco Atlantic also partnered with Navitas, giving the latter exclusive options for substantial stakes in Guyana and South Africa offshore block.


Eco (Atlantic) Oil & Gas is primarily a Canadian company, incorporated in Canada (British Columbia) and headquartered in Toronto, though it's dual-listed on both the Toronto (TSX-V) and London (LSE) stock exchanges, giving it a significant UK presence. So, while it operates internationally and is traded in London, its legal base and headquarters are Canadian.


JHI Associates, Inc., defines itself as the premier Atlantic Margin oil and gas exploration company with world-class assets offshore Guyana and the North Falkland Basin. JHL Associates extensive experience in the industry is highlighted by its enduring presence in Guyana, where it has been active since 1998. In 2023 the company expanded operations by acquiring a 100% working interest and operatorship of PL001 in the North Falkland Basin from Argos Resources.


Strategic assets include the Canje Block offshore Guyana, positioned next to the prolific Stabroek Block, which boasts over 11 billion barrels of discovered oil and gas resources. Additionally, the PL001 license in the Falkland Islands is situated near the world-class Sea Lion field, home to over 700 million barrels of recoverable oil.