Exploration

Blocks 2913B and 2912 are located about 300 kms offshore Namibia. (Image source: QatarEnergy)

QatarEnergy has entered into an agreement with TotalEnergies to acquire an additional 5.25% interest in block 2913B (PEL 56) and an additional 4.695% interest in block 2912 (PEL 91), both located in the Orange Basin, offshore Namibia

Subject to customary approvals, QatarEnergy’s participating interests in both licenses will increase to 35.25% in block 2913B and 33.025% in block 2912. TotalEnergies (the operator) will hold 45.25% in block 2913B and 42.475% in block 2912. The other partners in the two licenses are Impact Oil & Gas, holding 9.5% in each of the two licenses and the National Petroleum Corporation of Namibia (NAMCOR), holding 10% in block 2913B and 15% in block 2912.

QatarEnergy's relationship with NAMCOR goes way back, when the parties agreed to support and develop a sustainable upstream oil and gas sector in Namibia, which also included training and development of NAMCOR employees in industry-based skills.

Developing Venus discovery

"We are pleased to expand QatarEnergy’s footprint in Namibia’s upstream sector. This agreement marks another important step in working collaboratively with our partners towards the development of the Venus discovery located on block 2913B,” said Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, and president and CEO, QatarEnergy.

"I would like to take this opportunity to thank the Namibian authorities and our partners for their support and we look forward to delivering on our exploration and potential development programme,” he said.

Blocks 2913B and 2912 are located about 300 kilometers offshore Namibia, in water depths ranging from 2600 to 3800 meters. 

Blocks in the Namibian Orange Basin continue to see heightened activities. 

Bourbon will utilise its data management system for end-to-end execution. (Image source: Adobe Stock)

Bourbon has been awarded a new fully integrated logistics contract for a major exploration campaign, with first drilling to begin offshore southern Namibia

The first integrated logistics contract for the operator, its scope ranges from freight forwarding and logistics base services to marine services. This involves everything from international shipment and customs clearance of the equipment to arrive at Walvis Bay, all the way from Houston, Singapore and Antwerp. The contract reserves the deployment of three platform supply vessels – Bourbon Diamond, Ruby and Topaz.

Incidentally, Chevron Namibia Exploration Limited had entered Petroleum Exploration License 82 (PEL 82) in May with an 80% working interest and operatorship.

Ambitious project

Spearheading the entire logistics operations from planning to conduct, Bourbon will utilise its data management system, Bourbon Logistics Suite software, which enables all logistics operations to be planned, executed and controlled from end to end. The 7-hectare logistics base is located in Walvis Bay and will employ almost 50 shore-based staff, 96% of whom are Namibians, who will benefit from specialised training, particularly in materials handling.

Nicolas Chateau, managing director of Bourbon Logistics, said, “Bourbon Logistics is mobilised to bring exemplary management of the client's supply chain, with strict adherence to deadlines and constant attention to the highest safety standards. This new contract confirms Bourbon Logistics’ expertise and recognition by major O&G operators to bring increasingly comprehensive services to its clients, in their most ambitious projects.” 

In April, Bourbon Mobility had announced a major investment with Piriou to receive six new crewboats for operation in West Africa, which are due for delivery next year. 

Impact now holds a 9.5% interest in each of Blocks 2912 and 2913B. (Image source: Impact Oil & Gas)

Impact Oil & Gas Limited has completed the farm out of its interests in Blocks 2912 and 2913B offshore Namibia to TotalEnergies EP Namibia BV

This development was made possible following the receipt of relevant regulatory approvals from the Government of Namibia and consent from joint venture partners.

The farm out agreement between Impact Oil and Gas Namibia (Pty) Ltd and TotalEnergies EP Namibia BV dates back to 10 January 2024, wherby the decision was reached for the sale of a 9.39% undivided participating interest in Block 2912, and a 10.5% undivided participating interest in Block 2913B.

The transaction provides Impact with a carry loan for all of its remaining development, appraisal and exploration costs on the Blocks from 1 January 2024, until the date on which Impact receives the first sales proceeds from oil production on the Blocks. The carry loan is repayable from a share of Impact’s after-tax cash flows, and net of all joint venture costs, including capital expenditures, from production on the Blocks. In addition, on completion of the transaction, Impact received approximately US$99mn from TotalEnergies, as reimbursement for its share of costs incurred on the Blocks net to the farm out interests, prior to 1 January 2024.

Following completion of this transaction, Impact holds a 9.5% interest in each of Blocks 2912 and 2913B.

Siraj Ahmed, CEO of Impact, said, “We are pleased to have received approval from the Government of Namibia for our farm-out and look forward to continuing our journey towards first oil in Namibia. This is a transformational transaction for the company, securing Impact’s future participation in this exciting play. Additionally, this transaction, through the carry, gives Impact a funded exposure to further significant exploration opportunities in the Blocks, starting with the recently spud Tamboti-1X well.

“We look forward to continuing our longstanding partnership with NAMCOR, TotalEnergies and QatarEnergy, and would like to thank the TotalEnergies team for their ongoing collaboration.” 

This transaction serves Impact's ambition for transition from an exploration company to a hydrocarbon-producing company.

3D seismic raises promising prospects

With the successful penetration and testing of four drilled wells since the 2022 Venus-1X discovery, planning is on for the first development area to be finalised by 2025 end.

Data is currently being processed for interpretation from the licenced area over the southern and northern parts of the combined blocks, most of which are now covered by 3D seismic. 

TotalEnergies has recently extended its contract with Northern Ocean for DeepSea Mira, which has already unlocked significant additional resource in the north of Block 2913B after spudding the Tamboti-1X well. Further deployment of the semi-submersible drilling unit might be required once prospects in the southern part of the Blocks that are currently being matured by the recent 3D-seimic data possibly heighten chances of potential high impact exploration wells. 

Block 15/06 is one of the most prolific licences in Angola. (Image source: Adobe Stock)

The Government of Angola has approved Sequa Petroleum NV's acquisition of participating interests in Block 15/06 (10%), Block 23 (40%, with operatorship), and Block 27 (35%)

Block 15/06 is one of the most prolific licences in the Angola deepwater with current oil production approximately 100,000 barrel of oil per day, forecasted to increase beyond 200,000 bopd within two years through an ongoing development programme. 

Angola is further opening its doors to investors from around the globe as Angola's National Oil, Gas & Biofuels Agency (ANGP) prepares to offer 10 blocks in the Kwanza and Benguela Basins early next year. 

Transaction details

The SPNV transaction process that dates back to 2022 following the issuance of an independent review of Block 15/06 is set to finally come to a close around the end of this year. The SPE PRMS guidelines-backed and updated review for estimated remaining recoverable volume of the 10% interest sums up to 72 million barrels of oil since January 2024 (around 78 million barrels from the effective date).

The transaction is planned to be funded through a combination of equity contributions from the partners, and third-party debt. 

Angola’s minister of mineral resources, oil and gas, Diamantino Azevedo, highlighted new industry policies in the country such as the permanent offering of blocks, among others, while speaking at the Angola Oil & Gas 2024 conference.