Invictus Energy (ASX:IVZ) and Exalo Drilling have extended a contract for the Exalo Rig 202 to remain at Invictus’ 80%-owned and operated Cabora Bassa Project in Zimbabwe.

Invictus, which has a $174.26 million market capitalisation, says the rig will now remain at Cabora Bassa for another 2 years to enable the drilling and testing of future wells in the basin.

The company reports that ‘highly encouraging’ results from drilling programs to date have provided it with the confidence to keep Rig 202 stacked at the Mukuyu-2 location following the completion of drilling operations while preparations are made for future drilling and testing campaigns.

During the rig stacked period, Exalo is expected to undertake maintenance on Rig 202 in preparation for future drilling and/or well-testing activity in the Cabora Bassa Basin.

Invictus Energy Managing Director Scott Macmillan says the decision to keep the rig at the site will result in ‘substantial’ time and cost savings compared to demobilising and remobilising a drilling rig for future campaigns.

Invictus Energy is an independent oil and gas company headquartered in Perth, Western Australia with offices in Harare, Zimbabwe. The company is focused on opening one of the last untested large-frontier rift basins in onshore Africa — the Cabora Bassa Basin – in northern Zimbabwe.

As of 30 September 2023, the company had $15.359 million cash and cash equivalents at hand and $7.5 million in unused financing facilities, according to its latest quarterly report.

Write to Adam Drought at Mining.com.au

Images: Invictus Energy