Massive 10 Billion Barrel Oil Discovery Off Namibia Coast Triggers Global Bidding War
Portugal’s Galp Energia has confirmed what could be one of Africa’s largest oil discoveries in decades, with the Mopane Oil Field in Namibia’s Orange Basin estimated to contain 10 billion barrels of oil equivalent. The discovery has sparked an intense bidding war among energy giants including Petrobras, Shell, ExxonMobil, and TotalEnergies, all vying for a 40% stake in the project.
The Portuguese energy firm currently holds an 80% stake in the PEL 83 license covering the Mopane field but is actively seeking to sell nearly half of its interest, including operatorship, to accelerate development. Drilling campaigns at the Mopane-1X and Mopane-2A wells have confirmed a “quality light oil discovery” with high-reservoir quality sands.
Petrobras has positioned itself as a frontrunner, claiming its deepwater experience could fast-track first production by 2029. The Brazilian oil giant argues it can leverage technical expertise to meet Namibia’s ambitious timeline to become a top-10 global oil producer by 2035.
The field’s strategic importance extends beyond its massive reserves. With 50% lower carbon intensity than industry averages, the discovery aligns with ESG mandates, making it attractive to institutional investors focused on sustainable energy investments. Namibia’s government has mandated 40% local content, ensuring significant regional economic benefits while potentially increasing development costs.
Galp plans to drill 10 appraisal wells over three years, supported by a high-density 3D seismic campaign to fully delineate the field’s potential. The company has raised its full-year guidance to €2.7 billion following strong Q2 2025 earnings, with the Mopane project potentially adding €4 billion to its valuation.
Source: ainvest.com
