The company announced that Fuhai (Beijing) Energy, a wholly owned subsidiary of privately held Fuhai Group New Energy Holding, will acquire a 40 per cent interest in the EG-08 production sharing contract offshore Equatorial Guinea.
The deal significantly reduces Europa’s financial exposure while accelerating plans to drill the Barracuda prospect in the second half of 2026.
Europa has described the EG-08 block as a high-quality, low-risk, infrastructure-led opportunity located in a proven gas province. The acreage sits immediately north of Chevron’s producing Alen and Aseng fields, as well as several other discoveries in blocks O and I, underlining the commercial potential of the area.
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The Barracuda prospect is estimated to hold nearly 900 billion cubic feet of gas before drilling and carries an unusually high 80 per cent chance of success.
Under the terms of the agreement, Fuhai will fund 95 per cent of the cost of the Barracuda exploration well, capped at $53 million, a structure that sharply limits Europa’s near-term capital requirements. Should a commercial discovery be made, Fuhai will have a preferential right to recover its carried costs.
Following completion, Antler Global, Europa’s associated company, will retain a 40 per cent operating interest in the licence. Fuhai will also hold 40 per cent, while the remaining 20 per cent will stay with Equatorial Guinea’s national oil company, GEPetrol.
William Holland, chief executive of Europa Oil & Gas, said the transaction marked a major milestone for the company and aligned all partners behind a fast-tracked development strategy.
He noted that the agreement was “the culmination of three years of hard work” to identify the opportunity, mature the prospect, and secure a partner capable of carrying the project through drilling.
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The company expects 2026 to be a defining year, with progress on EG-08 potentially reshaping its portfolio and adding to West Africa’s growing role in global gas supply.
