Canadian oil company to expand foothold in Canje Block

Mar 17, 2026 News

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…through US$52M acquisition of JHI

(Kaieteur News) – Canadian oil and gas explorer Eco (Atlantic) Ltd. has announced plans to expand its presence offshore Guyana through a US$52.3 million acquisition of JHI Associates Inc., a move that would also give the company entry into the offshore petroleum sector of the Falkland Islands.

The company announced last week that it signed a binding agreement on March 10, 2026 to acquire all remaining shares in JHI not already owned by Eco. The transaction will be completed through the issuance of new Eco shares to JHI stakeholders.

“This landmark acquisition complements Eco’s existing Atlantic Margin portfolio in Namibia and South Africa, whilst adding to its exposure offshore Guyana. The Acquisition positions Eco at the forefront of one of the most compelling offshore growth stories globally, the North Falkland Basin, alongside intended operator and strategic partner Navitas Petroleum LP,” the company said.

Through the acquisition, Eco would gain JHI’s 17.5% participating interest in the Canje Block, located 180km offshore Guyana, and covers 4,800km2 in deep to ultra-deep water, and contains prospectivity in both continental slope and basin floor targets. Canje lies adjacent and directly northeast of the prolific Stabroek Block, which is operated by ExxonMobil Guyana Limited (EMGL).

While the licence for the Canje block expired on March 4, 2026, it was noted that discussions are ongoing with the Government of Guyana, through the Ministry of Natural Resources regarding a possible extension. “The Transaction is not conditional on the Canje Extension,” Eco noted.

In Guyana, Eco holds a 100% working interest in the 1,354 km2 Orinduik Block. This block is situated in shallow water, 170 km offshore Guyana.

In 2019 two oil discoveries were made, Jethro-1 and Joe-1, both wells encountered high quality reservoirs containing mobile heavy crude. The Orinduik Block licence expired on January 14, 2026.

As the licence for the offshore area has reached the end of its second renewal term, Eco is in talks with the Ministry of Natural Resources on the continuation of its appraisal and exploration activities on the Orinduik Block.

The company reminded that provisions under the Petroleum Act allow it to retain rights to its Jethro-1 and Joe-1 discoveries while its appraisal programme is under review. The company is working alongside its partner Navitas Petroleum, an Israeli firm in what it described as “ongoing, constructive discussions” with the ministry regarding the way forward for the block. In addition to expanding its footprint in Guyana, Eco will gain entry to JHI’s principal asset, 35% working interest in the PL001 licence in the North Falkland Basin, a block directly adjacent to Navitas-operated Sea Lion Field under development. Notably, the remaining 65% interest in the PL001 licence area will be held by Eco’s strategic partner Navitas – once Navitas farm-in is approved.

Eco’s President and Chief Executive Officer (CE0), Gil Holzman said the acquisition of JHI marks a major step in the company’s growth strategy. “”This Transaction represents a further transformational milestone in Eco’s strategic evolution and reinforces our disciplined approach to assembling high-quality Atlantic Margin acreage alongside best-in-class operating partners,” Holzman said.

He added that by securing acreage near the Sea Lion development and partnering with Navitas Petroleum LP, the company is positioning itself for development-led growth in that basin. Moreover, the acquisition is expected to close in the third quarter of 2026, subject to regulatory approvals and shareholder consent. Once completed, JHI shareholders are expected to hold about 21.8% of Eco’s then issued share capital.

For their part, JHI said the transaction would transition its investors from a privately held company into a publicly traded entity while broadening their exposure to exploration assets across several regions. “On closing, Eco will issue approximately 96 million new common shares to JHI shareholders on a ratio of 0.7054 Eco shares in exchange for each JHI share on a fully diluted basis, resulting in JHI’s shareholders, excluding Eco, owning approximately 22.5% of Eco,” the statement said.

JHI said the transaction will also expose its shareholders to Eco’s broader exploration portfolio, including acreage in Namibia’s Walvis Basin and offshore blocks in South Africa, while maintaining and potentially expanding exposure in Guyana.

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• Canadian oil company, Canje Block, Eco Atlantic Ltd, offshore Guyana

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