Norwegian energy giant Equinor is joining Chevron in Namibia’s increasingly competitive oil exploration race, acquiring a stake in an exploration licence in the country’s Orange Basin as major energy companies seek to unlock what could become a significant new oil province.
Equinor has acquired a 17.4% stake in Namibia’s Orange Basin exploration licence from Chevron’s Harmattan Energy.This move highlights growing international interest in Namibia’s offshore oil potential, with many major energy companies already exploring the region.The Orange Basin has seen several exploration successes, attracting firms like TotalEnergies, Shell, QatarEnergy, BP, and Eni.Chevron plans to drill a new well in Licence 90 this year, despite its initial unsuccessful attempt to find hydrocarbons.
Equinor has agreed to acquire a 17.4% interest in Exploration Licence 90 from Chevron’s Harmattan Energy, which operates the licence, the Norwegian company said.
The deal adds another major international producer to Namibia’s growing list of oil explorers, underscoring the global interest in the southern African country’s offshore resources.
Namibia’s Orange Basin has attracted some of the world’s largest energy companies following a series of discoveries and exploration successes in the wider region.
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TotalEnergies, Shell, QatarEnergy, BP and Eni are among the companies that have been exploring offshore Namibia alongside smaller independent producers.
The growing interest has raised hopes that Namibia could emerge as a major oil-producing country, although commercial production remains dependent on successful exploration, development decisions and the economics of potential discoveries.
Chevron plans to drill another well within Licence 90 later this year, adding to its exploration campaign in the country.
The US oil major’s first well in Namibia failed to find hydrocarbons, but the company has continued to pursue opportunities in the Orange Basin.
Shell is also preparing for another drilling campaign with QatarEnergy and Namibia’s state-owned oil company Namcor.
The company has previously written off around $400 million spent on wells in Namibia after failing to establish commercially viable development prospects.
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For Equinor, the Namibian investment comes as the company expands its international oil and gas portfolio and seeks to increase production.
The Norwegian producer has been active in expanding beyond its traditional markets. Earlier this year, it agreed to take full control of a Canadian offshore oil project from BP and acquired a stake in a US gas-fired power plant for $940 million.
Namibia’s Orange Basin now gives Equinor exposure to one of Africa’s most closely watched emerging oil exploration regions, while Chevron gains a new partner as it prepares for another test of the basin’s potential.
