Capricorn Energy Transfers Contract to Eni, Citla Energy

Capricorn Energy Mexico has agreed to transfer its stake in the contract CNH-R02-L01-A7.CS/2017 to the Italian company Eni Mexico and Citla Energy. As a result of this assignment, Capricorn will no longer be a party of the mentioned contract.

CNH’s governing body approved the transfer of corporate control and management of the area, as well as a modification in the stake of the contractors for the mentioned contract. After this process, 19.29% of the participation interest will become the property of Eni Mexico, while Citla Energy B7, will acquire 10.71%. CNH has confirmed that, following this transaction, Capricorn will no longer be considered a participating company in the contract. 

The contract operates under the shared production modality and covers an area in the shallow waters of the Gulf of Mexico, located off the coasts of Veracruz and Tabasco, with an approximate extension of 590.75km2.

Veracruz holds a pivotal role in the country's oil and gas landscape. Renowned for its strategic geographical location and vast reserves, Veracruz has become a focal point for exploration, extraction, and transportation activities in the energy sector.

PEMEX Exploración y Producción (PEP) has also recently received approval from CNH to commence drilling for the onshore exploratory well in the area: Panamak-1EXP. This drilling activity is part of the incremental scenario outlined in the modification to the exploration plan for allocation AE-0182-M-Waya, sanctioned by CNH Resolution CNH.25.04/2023 on July 6, 2023.

Situated in the municipality of Papantla de Olarte, Veracruz, Panamak-1EXP aims to uncover hydrocarbon accumulations within calcareous Cretaceous mudstones of the Tamabra Formation.

The drilling plan outlines a directional "J" type trajectory, with a targeted total depth of 2,815m true vertical depth (mvbmr) and 2,930m measured depth below the rotary table (mdbmr). Anticipated hydrocarbons include light oil with 29° API, featuring prospective resources at risk estimated at 4.6MMboe and a geological success probability of 17%.

During the same session, CNH also approved the drilling of the onshore well Xadani-1EXP, which is considered in the Base Scenario of the Exploration Plan corresponding to Allocation AE-0129-M-Llave, approved by CNH according to Resolution CNH.E.90.004/2022 on Dec. 8, 2022.