WTI (Nov) $58.70 -79c, Brent (Dec) $62.39 -93c, Diff -$3.69 -14c
USNG (Nov) $3.03 -9c, UKNG (Nov) 81.09p +1.759p, TTF (Nov) €31.665 +0.415

Oil price

Oil is slightly better today after the recent fall was arrested, US/China trade squabbles persist ahead of the two Presidents meeting in a fortnight. 

Yesterday was Colombus Day in the USA, no Government stats and the API and EIA data are both delayed by one day. The IEA put out another worthless piece of  research about an impending glut of oil due to renewables destroying demand for fossil fuels, it’s a good thing that recent work by them has been shown to be a wrong bet which even they had to acknowledge…

Afentra

Afentra yesterday announced that the Risk Service Contract (‘RSC’) for offshore Block 3/24 has been formally approved by Presidential Decree. 

This follows the Company’s announcement on 4 September 2025 confirming the signing of Heads of Terms with Angola’s National Agency of Petroleum, Gas and Biofuels (ANPG). Block 3/24 is located adjacent to Afentra’s existing interests in Blocks 3/05 and 3/05A and contains five established discoveries in shallow water, offering short-cycle, low-cost development as well as near-field exploration potential. 

Under the terms of the RSC, Afentra will be Operator with a 40% interest in the block, alongside Maurel & Prom Angola S.A.S. (40%) and Sonangol E&P (20%).

About Block 3/24

Block 3/24 covers 545 km2 and is adjacent to Afentra’s existing producing oil fields and undeveloped discoveries in Blocks 3/05 and 3/05A. The block adds a further five discoveries – Palanca North East, Quissama, Goulongo, Cefo and Kuma – all located in the same Pinda reservoir as the existing oil fields in Block 3/05 and 3/05A. In addition, the block contains the previously developed Canuku field cluster, which has produced up to 12,000 bopd. The block is estimated to include over 130 mmbbls of STOIIP and 400 bcf GIIP of already discovered resources.

With AET already demonstrating the substantial upside from operational efficiencies and near field opportunities on Block 3/05, we see the new acreage as offering potential upside that could boost both production and reserves.

Key Discoveries

• Palanca North East discovered in 1988, tested at 6,000 bopd (38 API)
• Goulongo discovered in 1988, tested at a constrained rate of 2,400 bopd (23 API)
• Quissama discovered in 1987, appraised in 1992 and tested at a constrained rate of ~3,000 bopd (36 API)
• Kuma discovered in 1988, tested at 1,800 bopd (32 API)
• Cefo discovered in 1988, tested at 1,150 bcpd and 32 mmcfd (48 API condensate with high H₂S content)
• Canuku field cluster developed by Sonangol (2001-2008); produced up to 12,000 bopd (31 API)

CEO Paul McDade commented:
“We are pleased to confirm the formal approval of the Block 3/24 license. This milestone marks Afentra’s first offshore operatorship and represents a significant step in our strategy to build a material production business in Angola. Our attention will now turn to technical analysis of the historic wells on the license as we commence a phased programme to re-access wells and fast-track first oil. We look forward to working with our joint venture partners to unlock the full potential of this highly prospective block.”

Good to see confirmation of this exciting deal for Afentra and as I commented before this is meat and drink to Afentra with its expertise and ability to deliver operational efficiencies from its operations in Angola.

These existing discoveries will, as CEO McDade says ‘offer potential upside that could boost both production and reserves’. This could be done quite quickly as I understand it and with partners ‘unlocking potential’ is the prime priority. 

Afentra remains a prime member of the Bucket List and long term best performer, it will be a favourite for a very long time by the look of it.

Supporting Presentation

A short presentation summarising the strategic context and technical opportunity associated with Block 3/24 is available on the Company’s website: https://wp-afentra-2025.s3.eu-west-2.amazonaws.com/media/2025/09/Block-324-final.pdf

Sound Energy

Sound has announced the appointment of Mr Majid Shafiq as Chief Executive officer to the Company. Majid Shafiq has also been appointed to the board of Sound Energy PLC.

Graham Lyon, the Company’s Executive Chairman, will transition to non-executive Chairman over the course of the next six months.

Majid Shafiq is a seasoned professional with over thirty-five years of experience in the energy sector, combining extensive international industry and capital markets expertise. He began his career with Mobil North Sea Limited, spending thirteen years in a variety of petroleum engineering and commercial roles. He subsequently worked for seventeen years in London investment banking with specialist energy-focused firms, including Tristone Capital and FirstEnergy Capital, where he advised private and public small to mid-cap energy companies on mergers and acquisitions and equity capital markets transactions.

In 2018, Mr Shafiq was appointed Chief Executive Officer of AIM/TSX-listed i3 Energy plc, a position he held for six years until the company’s sale at the end of 2024. During his tenure, the company grew from a pre-revenue micro-cap into a business producing 20,000 barrels of oil equivalent per day, distributed more than £45 million in dividends, and was sold for £174 million.

This combination of technical, financial, and leadership experience provides him with a comprehensive understanding of the energy sector and a demonstrated ability to execute growth strategies, raise capital, and deliver transactions that create shareholder value. Mr Shafiq holds an MEng in Petroleum Engineering and an MBA.

Regulatory disclosures (in accordance with Rule 17 and Schedule two paragraph (g) of the AIM Rules) are as set out below:

Mr Majid Shafiq (aged 61 years old) holds or has held the following directorships or partnerships in the past five years:

Mr Shafiq holds no shares in Sound Energy at this time.

No further disclosures under Rule 17/Schedule 2(g).

Graham Lyon, Executive Chair, commented:
“We are pleased to welcome Majid to Sound Energy. Majid has a proven track record in growing businesses and creating substantial shareholder value. I look forward to supporting and passing the baton to Majid to take the Company forward to the next stage of its exciting path, delivering revenue, widening and growing the Company’s portfolio with accretive opportunities.”

This is a fascinating move by Sound who have managed to hire as new CEO a highly respected former senior management player in the industry whilst keeping the driving force of Sound in recent years, Graham Lyon in the Chairman role.  

Sound now has a very strong team, a CFO hire and all ready for substantial growth. The shares have performed poorly, maybe this could be the kick start for the stock price.

Sunda Energy

Sunda has announced a subscription with board members and senior management of the Company to raise £240,000 and a retail offer (the “WRAP Retail Offer”), to allow new and existing retail shareholders to participate, to raise up to £230,000. In total, the Subscription and the WRAP Retail Offer will raise gross proceeds of up to £470,000 (assuming the WRAP Retail Offer is taken up in full).

The net proceeds raised from the Subscription and WRAP Retail Offer (together the “Fundraising”) will be used by the Company for general working capital purposes including ongoing preparations to drill in Timor-Leste and initial technical evaluation work on the two new Service Contracts awarded in the Philippines as announced by the Company on 8 October 2025.       

Subscription and WRAP Retail Offer

The Company has conditionally raised gross proceeds of £240,000 by way of the Subscription. The Subscription comprises the issue of 960,000,000 new Ordinary Shares (the “Subscription Shares”) at a price of 0.025p per new Ordinary Share (the “Issue Price”).  The Subscription has been taken up by the Directors and senior management. As part of the Subscription, the Company has agreed that one warrant will be granted for every two Subscription Shares, with each warrant entitling the holder to acquire one new Ordinary Share at a price of 0.0375p up to the third anniversary of the date of grant (the “Warrants”).

The Subscription is conditional on the Subscription Shares being admitted to trading on AIM. Application will be made to the London Stock Exchange for the Subscription Shares to be admitted to trading on AIM which is expected will take place at 8.00 am on 21 October 2025 (“Admission”). 

The Subscription Shares, and the new Ordinary Shares capable of being issued pursuant to the Warrants, will be issued on a non-pre-emptive basis pursuant to the authorities granted to the Board at the Company’s annual general meeting held on 27 June 2025.

The table below sets out the number of Subscription Shares being acquired by the Directors and their interests in the issued share capital of the Company following completion of the Fundraising (assuming the Retail Offer is taken up in full):

(1) Indicative enlarged share capital following Admission in this context assumes full take-up under the WRAP Retail Offer.

In addition to the Subscription, it is proposed that there will be a separate conditional retail offer to both new and existing shareholders via the Winterflood Retail Access Platform (“WRAP”) to raise up to approximately £230,000 at the Issue Price, to provide new and existing retail shareholders in the Company an opportunity to participate in the Fundraising on the same terms as those participating in the Subscription.

A separate announcement will be made shortly by the Company regarding the WRAP Retail Offer and its terms. Those investors who subscribe for new Ordinary Shares pursuant to the WRAP Retail Offer (the “WRAP Retail Offer Shares”) will do so pursuant to the terms and conditions of the WRAP Retail Offer contained in that separate announcement. 

Operational update

Timor-Leste

The Company’s wholly owned Timor-Leste subsidiary SundaGas Banda Unipessoal, Lda. (“SundaGas”) continues to work on preparations for the drilling of the Chuditch-2 appraisal well, anticipated to commence during early Q2 2026.

In order to secure an appropriate drilling rig, SundaGas sought expressions of interest from companies that own and operate drilling rigs globally and has received responses from 7 contractors, covering 12 jack-up drilling rigs operating in the Asia-Pacific region. The Company has evaluated all responses and high-graded several proposals for further discussions and negotiations. A Contract Strategy has been submitted for approval to upstream regulator Autoridade Nacional do Petróleo (“ANP”). The Company considers that it is on track to sign a rig contract before the end of 2025. In the meantime, SundaGas continues to engage with the Timor-Leste helicopter company for support of the planned offshore drilling operations at Chuditch and believes that an appropriate and safe service is now going to be available for the planned drilling period. The Environmental Permitting process is progressing well and SundaGas anticipates award during Q4 2025.

In parallel, the Company is in close discussions with TIMOR GAP Chuditch Unipessoal Lda (“TIMOR GAP”) concerning its support for funding of the Chuditch-2 well. These negotiations concern farm-in terms that closely resemble the farm-in agreement announced on 24 April 2025 and which was subsequently terminated with postponement of the drilling campaign. There can be no guarantee at this stage that these negotiations will result in binding terms being agreed between the parties nor can there be any certainty on the timing of any agreements being reached.

SundaGas is also engaged in renewed discussions with a number of potential investors concerning funding for its share of the costs of drilling in addition to the government support through TIMOR GAP. Whilst there is no certainty that these discussions will result in new funding partners, the Company is encouraged by the level of interest, which it considers is in part due to increased awareness of the emerging energy sector in Timor-Leste.

Philippines

As announced on 8 October 2025, the Company has been awarded non-operated interests in two Petroleum Service Contracts for offshore licence areas in the 1st Conventional Energy Bid Round of the Bangsamoro Autonomous Region of Muslim Mindanao in the Philippines. The successful licence awards are a direct result of the joint applications submitted by the bid group composed of Triangle Energy (Global) Limited (ASX: TEG, “Triangle”), Sunda Energy, PXP Energy Corporation (PSE: PXP) and The Philodrill Corporation (PSE.OV), with Triangle as the operator.

New Business Activities

Sunda Energy’s other initiatives to expand and diversify its upstream portfolio are progressing well. Whilst there can be no certainty of entry into any new assets, the Company is encouraged by the quality of prospective opportunities. Further details will be provided as and when any new business initiatives are successfully concluded.

Dr Andy Butler, CEO of Sunda, commented:
“I believe we’re on the cusp of exciting times, with the Chuditch project getting back on track with government support and renewed investor interest, with the award of two highly prospective non-operated assets in the Philippines and with the pursuit of material new ventures. The Fundraising announced today addresses short-term working capital requirements whilst we deliver on these projects and initiatives. I thank my fellow directors and team for their material contributions. The retail offer with accompanying warrants is intended as a means for both the Company’s long-term supportive shareholders and prospective new retail shareholders to participate if they choose to in a reinvigorated Sunda Energy. I thank colleagues, partners and especially shareholders for their ongoing support.”

The directors and senior managers have raised their subscription of £240/- and below is the announcement of the retail offer to raise another £230/-. This raise, to cover short term working capital should at least take them to the Chuditch drill time, but then…….

Sunda has announced a retail offer via the Winterflood Retail Access Platform to raise up to £230,000 through the issue of new ordinary shares of 0.025 pence each in the capital of the Company.

Under the WRAP Retail Offer up to 920,000,000 new Ordinary Shares (the “WRAP Retail Offer Shares”) will be made available at a price of 0.025 pence per share (the “Issue Price”).    As part of the WRAP Retail Offer, the Company has agreed that one warrant for every two WRAP Retail Offer Shares will be granted (for no additional subscription cost), with each warrant entitling the holder to acquire one new Ordinary Share at a price of 0.0375 pence up to the third anniversary of the date of grant (the “Warrants”).

In addition to the WRAP Retail Offer and as announced by the Company immediately prior to this announcement, the Company has raised conditionally gross proceeds of £240,000 by way of the Subscription.

The WRAP Retail Offer is being made available to new and existing shareholders of the Company and is being made on the same financial terms as the Subscription.

A separate announcement has been made regarding the Subscription and sets out the reasons for the Fundraising and use of proceeds.  The proceeds of the WRAP Retail Offer will be utilised in the same way as the proceeds of the Subscription.

For the avoidance of doubt, the WRAP Retail Offer is not part of the Subscription. Completion of the WRAP Retail Offer is conditional, inter alia, upon the completion of the Subscription but completion of the Subscription is not conditional on the completion of the WRAP Retail Offer.

The WRAP Retail Offer and the Subscription are conditional on the New Ordinary Shares (comprising the Subscription Shares and the WRAP Retail Offer Shares) being admitted to trading on AIM (“Admission”). It is anticipated that Admission will become effective and that dealings in the New Ordinary Shares will commence on AIM, at 8:00 a.m. on 21 October 2025.

WRAP Retail Offer

The Company values its retail shareholder base and believes that it is appropriate to provide both new and existing retail shareholders in the United Kingdom the opportunity to participate in the WRAP Retail Offer.

Therefore, the Company is making the WRAP Retail Offer open to eligible investors in the United Kingdom following release of this announcement, being new retail investors or existing shareholders of Sunda, and through certain financial intermediaries.

A number of retail platforms are able to access the WRAP Retail Offer. Non-holders or existing shareholders wishing to subscribe for WRAP Retail Offer Shares should contact their broker or wealth manager who will confirm if they are participating in the Retail Offer.

The WRAP Retail Offer is expected to close at 4.30pm on 16 October 2025. Eligible investors should note that financial intermediaries may have earlier closing times.

Retail brokers wishing to participate in the WRAP Retail Offer on behalf of eligible retail investors, should contact wrap@winterflood.com.

To be eligible to participate in the WRAP Retail Offer, applicants must be a customer of a participating intermediary including individuals aged 18 years or over, companies and other bodies corporate, partnerships, trusts, associations and other unincorporated organisations.

There is a minimum subscription of £250 per investor under the WRAP Retail Offer. The terms and conditions on which investors subscribe will be provided by the relevant financial intermediaries including relevant commission or fee charges.

The Company reserves the right to amend the size of the WRAP Retail Offer at its discretion. The Company reserves the right to scale back any order and to reject any application for subscription under the WRAP Retail Offer without giving any reason for such rejection.

It is vital to note that once an application for WRAP Retail Offer Shares has been made and accepted via an intermediary, it cannot be withdrawn.

The WRAP Retail Offer Shares will, when issued, be credited as fully paid and will rank pari passu in all respects with existing Ordinary Shares including the right to receive all dividends and other distributions declared, made or paid after their date of issue.

It is a term of the WRAP Retail Offer that the total value of the WRAP Retail Offer Shares available for subscription at the Issue Price does not exceed £230,000, or such greater size as agreed by the Company.

It should be noted that the Warrants do not guarantee any return and will expire if not exercised prior to their expiry date. If the share price of the Company does not exceed the exercise price of the Warrants prior to their expiry date then it is unlikely that any of the Warrants would be exercised.

The WRAP Retail Offer is offered in the United Kingdom under the exemption from the requirement to publish a prospectus in section 86(1)(e) of FSMA. As such, there is no need for publication of a prospectus pursuant to the Prospectus Regulation Rules of the Financial Conduct Authority, or for approval of the same by the Financial Conduct Authority. The WRAP Retail Offer is not being made into any jurisdiction other than the United Kingdom.

Investors should make their own investigations into the merits of an investment in the Company. Nothing in this announcement amounts to a recommendation to invest in the Company or amounts to investment, taxation or legal advice.

It should be noted that a subscription for WRAP Retail Offer Shares and investment in the Company carries a number of risks. Investors should take independent advice from a person experienced in advising on investment in securities such as the WRAP Retail Offer Shares if they are in any doubt.

An investment in the Company will place capital at risk. The value of investments, and any income, can go down as well as up, so investors could get back less than the amount invested.

Neither past performance nor any forecasts should be considered a reliable indicator of future results.

Words and expressions defined in the announcement of the Company at 7.00 am on 15 October 2025 shall have the same meaning in this announcement.

Buccaneer Energy

Buccaneer has announced that a drilling rig has been selected to drill the first of two potential development locations in the Fouke area of the Pine Mills Field.

The well, formerly known as Fouke 3, will be called the Allar 1 (WI: 32.5%) and is tentatively planned to spud during the last week of October.  This spud date is dependent upon completion of the drilling pad construction, which is expected to commence in the next few days. The well is anticipated to take up to 2 weeks to drill and evaluate once spud.

The drilling of the Allar 1 well, alongside Buccaneer’s plans to monetise associated gas produced in the Fouke area to power Bitcoin Mining operations, forms a key part of the Company’s strategy to maximise value and increase production across its interests in the Pine Mills Field.

Paul Welch, Buccaneer Energy’s Chief Executive Officer, said:
“We are excited to have secured a drilling rig for the Allar 1 well, which we believe will be another successful location in the Fouke area of Pine Mills. The Allar 1 is located north of the Fouke 1, and if it comes in as expected, will be produced at the field allowable rate of 124 bopd gross, similar to the initial rates of Fouke 1 and 2.  If successful, the associated gas volumes produced from this well, along with those from Fouke 1 and 2 are intended to be used as the initial volumes for a potential Bitcoin Mining facility located in the field.  I look forward to updating everyone on the results of this well in due course.”

Paul Welch is certainly getting on with it at Buccaneer and I like what I see, success here would be a big value creator being as it will be, dedicated to the start-up of Bitcoin Mining facility which is located in the field. 

Buccaneer has started well, it has been well financed and the company has big aspirations and should this well come in I would get even more excited about its prospects. One for the radar screen. 

Original article   l   KeyFacts Energy Industry Directory: Malcy's Blog