Africa-Press – Namibia. THE Namibian Minister of Industries, Mines and Energy, Modestus Amutse, has expressed concern over an unauthorised acquisition made by TotalEnergies with Galp Energies, in which it acquired a 40% operated interest in PEL83, holding the Mopane discovery, while Galp will acquire a 10% participating interest in PEL56, holding the Venus discovery.
“The Ministry of Industries, Mines and Energy noted with concern the recent media announcement by TotalEnergies and Petrobras concerning alleged equity interests in Petroleum Exploration Licence (PEL83) in Namibia. The Ministry wishes to clarify that the Namibian Government was not notified about these developments, as required by law. Indeed, the Ministry was informed of the planned press release a few minutes prior to its release by the aforementioned parties. The Government makes it clear that, in accordance with the law, any transfer, assignment, or acquisition of participating interests in petroleum licences in Namibia must obtain prior approval of the Minister,” Amutse said.
IN its announcement, TotalEnergies stated that the new transaction with Galp Energy positions it as the operator of the two largest oil discoveries in Namibia and opens the way for the development of a major producing hub, generating long-term value for the country and partners.
Under the signed agreement with Galp Energia SGPS SA (“Galp”), TotalEnergies is to acquire from Galp a 40% operated interest in PEL83, which includes the Mopane discovery; whilst Galp is to acquire from TotalEnergies a 10% participating interest in PEL56, which includes the Venus discovery, and a 9.39% participating interest in PEL91.
TotalEnergies will carry 50% of Galp’s capital expenditures for the exploration and appraisal of the Mopane discovery and the first development on PEL83. The carry will be repaid through 50% of Galp’s future cash flows from the project.
TotalEnergies and Galp agreed to launch an exploration and appraisal campaign including three wells over the next two years, with a first well planned in 2026, to further de-risk resources and progress diligently towards the development of the Mopane discovery.
Concurrently, TotalEnergies, operator of PEL56, remains fully committed to the development of the Venus discovery and is working to secure all conditions enabling a potential final investment decision in 2026.
“We are very happy to have been selected by Galp as their partner and operator for the prolific PEL83 licence, including the Mopane discovery in Namibia. This is a strong recognition of the exploration and deepwater competencies of TotalEnergies teams. This transaction also demonstrates the strong confidence of TotalEnergies towards Namibia as a future oil-producing country. TotalEnergies will leverage its recognised operatorship track record to progress towards profitable and sustainable developments of both Venus and Mopane discoveries. By enabling the creation of a producing hub in Namibia, we aim to achieve synergies that will create long-term value for both Namibia and the stakeholders,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies.
He further stated that TotalEnergies is eager to keep building on its collaboration with the Namibian authorities in order to deliver both developments.
TotalEnergies has been present in Namibia since 1964 and employs 55 people. TotalEnergies is also the fourth-largest fuel distributor in the country, with 43 service stations. In line with its multi-energy strategy, the company is looking for local opportunities to develop low-carbon projects in the country.
Completion of the transaction is subject to customary third-party approvals from the Namibian authorities and joint venture parties, with completion expected to occur in 2026.
After completion of the transaction, TotalEnergies will own: a 40% operated interest in PEL83 alongside Galp (40%), Namcor (10%) and Custos (10%); a 35.25% operated interest in PEL56 alongside QatarEnergy (35.25%), Galp (10%), Namcor (10%) and Impact (9.5%); and a 33.085% operated interest in PEL91 alongside QatarEnergy (33.025%), Namcor (15%), Galp (9.39%) and Impact (9.5%).
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