Pancontinental Energy (ASX:PCL) has announced the granting of a second one-year extension to the current, first, four-year period of its offshore Petroleum Exploration Licence for PEL 87 in Namibia.

Pancontinental says the extension of the Initial Exploration Period will be used to conduct an extensive 3D seismic survey, which is currently in the final planning stage.

It also says an obligatory 50% relinquishment of the licence area has been waived by the Minister, leaving the licence area at 10,970? until the expiry of the extended term.

The company also says it?s continuing to discuss a potential farmout of PEL 87.