Eco Atlantic Oil & Gas Ltd on Wednesday said its first-half net loss widened, as operating costs climbed.

Eco Atlantic is a Toronto, Canada-based oil and gas exploration company which focuses its operations on South Africa, Namibia and Guyana.

Its net loss in the six months that ended September 30 widened to $2.8 million from $1.7 million year-on-year, while total operating expenses soared 42% higher to $2.8 million from $1.9 million.

Revenue during the six-month period multiplied to $7.5 million from $1.7 million.

The company said it had no debt and $8.0 million in cash and cash equivalents at the end of September.

Eco Atlantic said it had also received the first payment of $8.3 million from its joint venture partners following the completion of the farm-down of a block offshore South Africa.

The company expects an additional $11.5 million during 2025 when further deadlines are reached. Eco Atlantic said this move demonstrates its commitment to its South African portfolio while maintaining exposure to the ‘highly prospective’ Orange Basin.

Chief Executive Officer Gil Holzman said: ‘Eco also increased its exposure to South Africa’s Orange Basin growing offshore energy acreage through the acquisition of a 75% working interest in block 1, while taking the strategic decision to relinquish block 2B. Both of these developments further indicate Eco’s ability to take strategically prudent decisions to maximise the company’s exposure to exciting jurisdictions. With active farm-out discussions ongoing in Namibia and Guyana, we are well-positioned to capitalise on high levels of interest from potential partners in these exciting exploration regions.’

Shares in Eco Atlantic closed 4.8% lower at 10.00 pence each in London on Wednesday.

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