Sintana Energy Acquires Stake in Maravilla Oil and Gas

Sintana Energy Inc. has announced the acquisition of a 44% interest in Maravilla Oil and Gas, a Namibian company with stakes in promising oil exploration regions in West Africa. The acquisition is valued at US$6.5 million. Maravilla holds significant assets, including an 80% interest in Paragon Oil and Gas, which controls the Petroleum Exploration License 37 (PEL 37) in Namibia's Walvis Basin. Through Maravilla, Sintana gains 35% indirect interest in PEL 37, enhancing its strategic position.

PEL 37 is a substantial prospect, covering 17,295 km² with extensive seismic data, and prospective oil reserves. The acquisition positions Sintana to capitalize on potential developments, particularly with Chevron's impending exploration activities near PEL 37. Chevron's plans could benefit Sintana by providing valuable insights on prospective oil wells.

The transaction includes a community donation of N$1 million by Maravilla, benefiting the Erongo Region. Knowledge Katti, significantly involved with both Maravilla and Sintana, represents a related party, requiring independent director review.