Vaalco Energy gets green light for second phase of Côte d’Ivoire oil exploration

Vaalco Energy, an African-focused independent energy company, has secured government approval to advance exploration at Block CI-705 offshore Côte d’Ivoire, moving closer to drilling an exploration well by the end of 2028.

The Houston-based oil producer said it had completed its initial exploration commitments and received authorization to enter the block’s second exploration phase.

The approval allows Vaalco to deepen its assessment of the offshore acreage through additional seismic work and geological studies. The company must also relinquish 25% of the exploration block and commit to drilling an exploration well before the second phase expires.

New drilling target takes shape

Block CI-705 lies within the prolific Ivoirien Basin, approximately 70 kilometers west of Vaalco’s CI-40 block, which hosts the Baobab and Kossipo oil fields. The proximity to established discoveries gives the exploration acreage exposure to geological formations that have already demonstrated hydrocarbon potential.

Vaalco completed its first-phase commitments by evaluating and interpreting existing seismic and well data. The company said the results encouraged it to proceed with further exploration, with the next phase expected to provide a clearer picture of the block’s commercial potential and prospects for drilling.

Nearby discoveries strengthen prospects

Vaalco Chief Executive Officer George Maxwell said the company sees promising exploration opportunities in geological formations that have produced discoveries elsewhere in the basin. These include structural and stratigraphic traps in the Upper Cretaceous and Albian sections, which will guide the company’s next round of technical evaluation.

“Recent nearby discoveries are on trend with CI-705 and provide additional validation of our play concepts and our view of the block’s prospectivity,” Maxwell said. He added that the company’s exploration pipeline supports its strategy of expanding production, reserves and shareholder value.

Vaalco expands African portfolio

Vaalco entered Block CI-705 in March 2025 through a farm-in agreement that made it the operator with a 70% working interest. 

The position gives the company control over exploration activities as it advances its offshore Côte d’Ivoire program and evaluates opportunities in the wider Ivoirien Basin.

The company has a diversified portfolio of production, development and exploration assets in Gabon, Egypt, Côte d’Ivoire and Equatorial Guinea. 

Its operations combine producing fields with longer-term exploration opportunities, allowing Vaalco to pursue reserve growth while maintaining exposure to established African oil-producing markets.

Production supports exploration strategy

Vaalco also holds significant offshore production interests in Gabon’s Etame Marin Production Sharing Contract, which includes the Etame, Avouma, Ebouri and South Tchibala fields. 

The producing assets provide an operating base as the company pursues additional discoveries and development opportunities across its African portfolio.

Headquartered in Houston, Vaalco is listed on the New York Stock Exchange and the London Stock Exchange. Since 2021, the company has expanded from a single-asset producer into a multi country African operator through acquisitions, portfolio restructuring and operational expansion.