Pharos Energy Secures Two-Year Licence Extension in Vietnam
Why we think this is good
The RNS announcement from Pharos Energy plc indicates that the company has received approval from the Vietnamese government for a two-year extension of the Exploration Period for Blocks 125 & 126. This is a positive development as it provides the company with more time to progress its plans in the region and potentially drill the commitment well on Block 125. The RNS does not mention any concerns around trading, financing, timelines, contracts, or regulations, and there are no unexpected management changes. Overall, the news is positive for the company's operations in Vietnam.
Key Points
- Two-year extension of Exploration Period for Blocks 125 & 126 in Vietnam approved by Vietnamese Government
- Extension provides more time for the company to progress its plans, including potentially drilling the commitment well on Block 125
Summary
Pharos Energy plc has received approval from the Vietnamese Government for the two-year extension of the Exploration Period (from 9 November 2025 to 8 November 2027) of the Blocks 125 & 126 Production Sharing Contract (PSC). This extension allows the company to retain optionality for the prospect on Block 125 to be drilled, whilst investing in near-term production growth in its producing assets in Vietnam.