Energy giants eye stake in Galp’s Namibian oilfield

Energy companies, including ExxonMobil and Shell, are considering bids for a stake in Galp Energia’s oilfield offshore Namibia.

This is according to a report by news agency Bloomberg on Wednesday.

“TotalEnergies and Equinor are also interested in acquiring the 40% stake Galp is looking to sell in the Mopane discovery,” Bloomberg says.

The Mopane field is situated within Namibia’s Orange Basin and has recently emerged as a hotspot for oil and gas exploration.
Galp currently holds an 80% stake in the field, acting as the operator, with the remaining 20% divided between the National Petroleum Corporation of Namibia (Namcor) and Custos Energy.

“Based on Galp’s recent estimates, the Mopane complex contains approximately 10 billion barrels of oil equivalent, potentially valuing the entire discovery at around US$20 billion,” Bloomberg says.

It says Galp has enlisted the help of a financial adviser and has set a mid-June deadline for the submission of first-round bids for half of its 80% stake in the oilfield.

“Discussions are still ongoing, and the possibility of additional bidders emerging remains open,” the company reports.

“The Portugal-based company may also choose to retain its stake if it cannot reach a satisfactory agreement with any of the interested parties,” Galp says.

According to Bloomberg, representatives from Galp, ExxonMobil, Shell, TotalEnergies and Equinor all declined to comment on the report.

Namibia’s oil industry has gained traction due to recent discoveries, like Shell’s Graff-1, La Rona-1 and Jonker-1 finds, all located north of PEL 83, the block containing the Mopane field.

Additionally, TotalEnergies’ discovery at the Venus-1 well, situated adjacent to PEL 83, has further increased interest.