The Thali offshore permit has crossed a critical threshold, but the decisive question remains: can this deal actually pull Cameroon’s flagship exploration project back from the brink? Tower Resources, the London-based operator, says it has secured approval from the presidency in Yaoundé to farm out 42.5% of its working interest to Prime Global Energies. The arrangement, which still requires administrative formalities, carries a $15 million investment commitment from the incoming partner toward the work programme, with the NJOM-3 appraisal well squarely in its sights. At the European Central Bank reference rate of 28 September 2026, that sum translates to roughly 8.65 billion FCFA.

The transaction is not a cash payment to Tower. Instead, it is an investment commitment — the classic farm-out mechanism under which a partner funds a share of the technical programme in return for an equity stake. Prime Global Energies will join Thali as a non-operating partner, leaving day-to-day control in the hands of Tower Resources Cameroon, the London group’s local subsidiary.

What still stands between approval and a done deal?

Presidential authorisation notwithstanding, the bureaucratic loop is not yet closed. In its half-year accounts to 30 June, published on 28 September, Tower says it has seen a copy of the presidency’s letter addressed to the Prime Minister’s office, the Ministry of Mines, Industry and Technological Development (Minmidt) and the National Hydrocarbons Corporation (SNH). Minmidt must still draft the order extending the initial exploration period and forward the formal approval letter for the farm-out.

Until those duly executed documents are in the parties’ hands, the transaction stays on hold. The company acknowledges that the completion timeline remains uncertain at this stage. That caution is far from trivial: the exploration programme is already several years behind schedule, starved of the financial resources needed to launch drilling operations.

Prime Global Energies, registered in the United Kingdom and focused on upstream oil and gas, is no newcomer to the sector. The company was still known as Prime Pakistan Limited until December 2024, having previously operated under the name Eni Pakistan Limited. That lineage with the Italian group Eni gives it operational experience that could reassure Cameroonian authorities about the technical solidity of the new partner.

NJOM-3 slips to the second quarter of 2027

Prime’s entry is chiefly aimed at locking down financing for NJOM-3, the next appraisal well planned on Thali. Tower has revised its schedule: drilling should begin in early Q2 2027, from April onward, compared with an earlier assumption of the first quarter. An earlier start has not been entirely ruled out, but management prefers to keep the most conservative window in its guidance.

“We currently expect to spud the well in early Q2 2027,” says Jeremy Asher, chairman and chief executive of Tower Resources. The rig choice has not yet been contracted. The company continues to review available units on the market and has decided to stop communicating on the matter until a firm contract is signed. Draft agreements with the other service providers needed for the operation, however, are already in place.

Part of the logistics is even staged in Douala. Tower has stored there, alongside other equipment destined for NJOM-3, a system that can suspend the well after testing and later reuse it for production, should test results prove encouraging.

Why does the deal carry near-existential weight for Tower?

Prime’s contribution is close to existential for Tower. The group states in its accounts that it must either complete the Cameroonian farm-out, strike another transaction on its assets, or raise additional capital to meet its commitments. As of 30 June 2026, the company held only $66,583 in cash against $2.91 million in current liabilities. It has never produced a barrel and generates no revenue.

Over the first half, $453,000 in spending was capitalised in Cameroon, down from $982,000 a year earlier. Those outlays cover NJOM-3 preparation, engineering studies, drilling planning and the running of the Douala office. The $15 million pledged by Prime should cover the remaining balance needed for the appraisal well. Subsequent testing and any eventual commercial development of the field will require fresh funding rounds.

What else is moving in the region?

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By Mariama Hamani — Analyst