Meren Energy notes and supports the corporate restructuring announced by its investee company, Impact Oil & Gas, to create a pure-play Namibia-focused development and exploration business. The Transaction has been approved by Impact and is intended to align the interests of its shareholder base around a streamlined and more focused portfolio.

This forms another step in Meren’s strategy to simplify its business and high-grade its portfolio, whilst enhancing alignment with its core areas of value creation in the Orange Basin. Meren’s effective interest in its core Namibian Orange Basin assets, including the world-class Venus project, remains unchanged, with the Transaction separating out Impact’s South African exploration interests that are non-core to Meren. This concentrates Meren’s Orange Basin exposure and strengthens the Company’s long-term positioning in the basin, that also includes its direct carried interest in Block 3B/4B, South Africa.

Taken together, this restructuring is expected to enhance value for Meren’s shareholders through a more streamlined Impact structure, a sharper focus on the Venus project, and improved future capital allocation discipline. It removes Meren’s exposure to the costs of managing and maintaining the South African exploration assets, reducing Impact’s overhead and simplifying the portfolio, in line with Meren’s wider strategy and investment objectives.

Oliver Quinn, President and CEO of Meren, commented: 
"Since late 2023, we have actively managed Meren's portfolio to optimise the business, focus on our highest-value assets, and increase shareholder exposure to tangible growth. This Transaction represents an important next step in that program. By concentrating Impact's resources on progressing Venus towards first oil, while streamlining its portfolio and cost base, there is a stronger alignment between Impact's strategy and Meren's investment objectives. Following the transformational Prime amalgamation last year, this further reflects our disciplined approach to portfolio management as well as long-term value creation in the Orange Basin. I would like to thank our fellow Impact shareholders and management team for their constructive and collaborative engagement throughout this process.”

KeyFacts Energy: Meren South Africa country profile   l   Namibia