JHI Associates has reached an agreement to be acquired by Eco (Atlantic) Oil and Gas Limited in a deal valued at US$62.6 million.

In a letter to shareholders, Chief Executive Officer John Cullen said the valuation is based on the mid-market closing price of Eco’s common shares on the AIM market of the London Stock Exchange on March 10, 2026.

Under the agreement, Eco will issue approximately 96 million new common shares to JHI shareholders. The exchange will be done at a ratio of 0.7054 Eco shares for each JHI share on a fully diluted basis.

Once the transaction is completed, JHI shareholders — excluding Eco — are expected to own about 22.5 per cent of the combined company.

Cullen said the deal will transition JHI from a private company to participation in a publicly traded entity while giving its shareholders exposure to a broader portfolio of exploration assets.

Those assets include Eco’s three exploration blocks in the Walvis Basin offshore Namibia and two offshore blocks in South Africa, including a planned exploration well in Block 3B/4B.

The transaction will also expand exposure to Guyana through Eco’s Orinduik Block discoveries, known as Jethro and Joe. 

Cullen said JHI remains in discussions with Guyana’s Ministry of Natural Resources regarding the potential continuation of the Canje licence.

According to Cullen, the deal further strengthens Eco’s position as an exploration company focused on the Atlantic Margin, with acreage in several major offshore exploration regions.

Eco is partnered with companies including TotalEnergies and Navitas Petroleum.

The acquisition will also expand Eco’s strategic joint venture with Navitas, with JHI’s PL001 licence offshore the Falkland Islands expected to become the first confirmed asset under the partnership.

The PL001 licence is currently scheduled to expire on December 31, 2026. JHI said it has been in discussions with the Falkland Islands Government since December regarding an extension and remains confident the licence will be renewed.

Earlier this year, JHI announced it would transfer a 65 per cent participating interest and operatorship of the licence to Navitas, pending approval from the Falkland Islands Government.

A vote by JHI shareholders on the proposed transaction is expected within the next three to four weeks. The acquisition will close once all regulatory and contractual conditions are satisfied.