Namibia anticipated to become third biggest SSA oil producer
Namibia is projected to become the third-largest oil producer in Sub-Saharan Africa (SSA), Nedbank’s head of oil and gas in London, Chris Coombs, says.
Coombs made the remarks at an oil and gas discussion held by the bank and said the oil sector was beaming with excitement about potential significant finds by international oil companies (IOCs) Shell, TotalEnergies, and Galp in the past two years.
According to Coombs, while IOCs had struggled to find commercially viable deposits to exploit at the start of the decade, Namibia could potentially become an oil producer by the end of the decade, placing it behind oil majors Nigeria and Angola, who produce 1.25 million barrels per day (bpd) and 1.1 million bpd, respectively.
“By the end of the decade, there is a possibility that Namibia could be the largest SSA producer in the world, and the opportunities are vast and exciting,” Coombs said.
Clear opportunities
Coombs said TotalEnergies’ intent to direct 50% of its exploration budget towards Namibia was further testament to the confidence held in Namibia.
“I think when we see a company like TotalEnergies commit 50% of its total exploration budget of US$100 million to Namibia, that is testament to the size of the opportunity. There is still risk, there are still firm numbers to be done, but the opportunity is absolutely clear,” he said.
“The scale of the opportunity is absolutely huge. People talk about Namibia in the oil and gas sector,” he added.
While no IOCs have yet produced any oil or gas, TotalEnergies and Shell have made discoveries estimated at 2.6 billion barrels, with production in the southern African country expected from about 2030.
There have been discoveries in the Orange Basin, and there are other prospective areas, including the Lüderitz, Kavango and Walvis basins.
Namibia is planning for its first oil production from Venus, estimated to hold about 5.1 billion barrels of oil between 2029 and 2030.
- Additional reporting by Reuters
Coombs made the remarks at an oil and gas discussion held by the bank and said the oil sector was beaming with excitement about potential significant finds by international oil companies (IOCs) Shell, TotalEnergies, and Galp in the past two years.
According to Coombs, while IOCs had struggled to find commercially viable deposits to exploit at the start of the decade, Namibia could potentially become an oil producer by the end of the decade, placing it behind oil majors Nigeria and Angola, who produce 1.25 million barrels per day (bpd) and 1.1 million bpd, respectively.
“By the end of the decade, there is a possibility that Namibia could be the largest SSA producer in the world, and the opportunities are vast and exciting,” Coombs said.
Clear opportunities
Coombs said TotalEnergies’ intent to direct 50% of its exploration budget towards Namibia was further testament to the confidence held in Namibia.
“I think when we see a company like TotalEnergies commit 50% of its total exploration budget of US$100 million to Namibia, that is testament to the size of the opportunity. There is still risk, there are still firm numbers to be done, but the opportunity is absolutely clear,” he said.
“The scale of the opportunity is absolutely huge. People talk about Namibia in the oil and gas sector,” he added.
While no IOCs have yet produced any oil or gas, TotalEnergies and Shell have made discoveries estimated at 2.6 billion barrels, with production in the southern African country expected from about 2030.
There have been discoveries in the Orange Basin, and there are other prospective areas, including the Lüderitz, Kavango and Walvis basins.
Namibia is planning for its first oil production from Venus, estimated to hold about 5.1 billion barrels of oil between 2029 and 2030.
- Additional reporting by Reuters
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