- Tower Resources is preparing to drill the NJOM-3 well on the Thali block and is awaiting government approval for a license extension and farm-out agreement.
- Prime Global Energies committed $15 million to the project, securing a 42.5% stake. Drilling is expected between June and December 2025.
- Cameroon’s oil production decline continues, with NJOM-3 offering the potential to boost reserves and future output.
British oil company Tower Resources prepares for the NJOM-3 well in Cameroon’s Thali block. The company awaits government approval for a license extension and a farm-out agreement with Prime Global Energies.
Tower Resources assesses drilling rig options for deployment between June and December 2025. The company strengthens its team by hiring a senior geologist and a drilling engineer to support operational planning.
The company’s next steps depend on the Cameroonian government granting a one-year extension for the Thali project license. Without this extension, Tower Resources cannot finalise its drilling plans for NJOM-3.
In January, Tower Resources secured a farm-out agreement with Prime Global Energies. Prime Global Energies will acquire a 42.5% stake in the Thali project. They commit $15 million to cover the drilling costs. Cameroonian authorities expect to approve the agreement by the end of March 2025.
NJOM-3 targets contingent resources within the Njonji 1 fault block and the PS9 reservoir in the Njonji South fault block. A successful well will convert these resources into proven and probable reserves. This success will enable NJOM-3 to become a production well and lead to three additional wells in the Thali field.
Due to ageing oil fields, Cameroon’s crude oil production will decline to 20.7 million barrels in 2025, down from 22.9 million barrels in 2024. This decline could hit the country’s economy, shrinking the oil sector’s contribution to GDP by 3.6% in 2025, following a 2.6% drop in 2024.
A successful NJOM-3 well will be crucial in shaping Cameroon’s oil sector.