Can you introduce ReconAfrica?

Our core assets are in Namibia, where we hold approximately 6 million acres onshore. We are pursuing the Kavango Rift Basin play and the Damara Fold Belt play. We drilled the first well in the fold belt in 2024 and are currently preparing to drill our second in the second half of 2025. We also signed an MOU in Angola for approximately 5 million acres onshore which share geological continuity with our Namibian holdings. We also hold acreage in Botswana.

What differentiates ReconAfrica’s exploration model in Namibia?

We are chasing high potential prospects typically found in deepwater, but we are doing so onshore, where the cost is dramatically lower than offshore. While offshore wells cost US$150 million, we can drill similar prospects onshore for about 10% of costs seen offshore. Additionally, onshore infrastructure enables faster cycle times. Instead of 7–10 years, as in deepwater projects, we should be able to bring resources online within approximately two years due to access to roads and rail. Namibia offers relatively advanced infrastructure, which strengthens our model. We could be among the first to bring production online in Namibia if we are successful.

Has the investor climate for oil and gas changed recently?

There is a noticeable shift toward fossil fuels from the intense green transition focus of a few years ago. Major companies like Shell and BP are signaling a renewed interest in hydrocarbons. In the small-cap space, capital is returning after a lull, and we see many investors who had previously focused on US shale now considering international conventional plays. Last year we did two raises, and we were able to successfully raise money for exploration in what was a difficult market for international exploration. I think the fact that we can attract investments from around the globe is a testament to Recon’s new management team and strategy to create value.

How do the regulatory climates in Namibia and Angola compare?

Namibia's oil and gas sector is evolving. We look forward to working with the new government as it implements its priorities and welcomes its commitment to growing the energy sector and increasing efficiency. Our engagement with government officials and local communities in Namibia has been very positive and supportive.

Angola has a well-established oil sector, which in recent years has improved its fiscal and regulatory regimes to attract investment through enhanced marginal and incremental production terms. Our engagement with Angolan authorities has been positive. The transparency and professionalism displayed, particularly by the ANPG, make Angola a promising environment for investment.

Can you outline the timeline for ReconAfrica’s Angola program?

Our Angola MOU spans two years and consists of two phases. The first phase includes geochemical surveys and field analysis, which will contribute to the validation of the petroleum system. If successful, we plan to move into phase two, which includes acquiring 700 km of seismic data or conducting airborne FTG (Full Tensor Gravity) surveys. We see our Namibian and Angolan projects as geologically continuous. Our integrated technical team works seamlessly across both jurisdictions.

What is ReconAfrica’s ESG approach on the ground?

ESG is central to everything we do. In Namibia, we have implemented what we consider a gold standard ESG program. Our stakeholder communication plan spans from national ministers to village principals, ensuring transparency and regular engagement. We employ 22 people full-time in Rundu who engage with local communities. Our commitment is demonstrated through education and water access programs. We have funded 17 scholarships—10 in STEAM fields and 7 in nursing. We also installed 36 solar-powered water wells in economically disadvantaged villages, impacting around 10,000 people and 100,000 cattle. These projects have addressed critical health and safety issues. This level of community investment has built deep local trust and made our ESG credentials a model. Angola's regulators have cited this program as a key reason for inviting us to explore.

What are ReconAfrica's priorities for the coming year?

Our top priority is drilling our second well in Namibia's Damara Fold Belt play, the most prospective well in our portfolio to date. Our first well retrieved oil to the surface, and this next well— Kavango West 1X - builds on that success.