Namibia: Explorers Find Billions of Barrels of Oil

Jo-Mare Duddy

7 April 2011

Windhoek — DATA showing that Namibia might be sitting on nearly 12 billion barrels of oil and gas have the Ministry of Mines and Energy gearing itself for a flurry of activities as international majors return to the country they now see as a “new petroleum exploration destination.”

Starting this November, the ministry has to prepare itself for “rigorous” drilling, Minister Isak Katali told Parliament yesterday.

Within the next 18 months, a record-breaking six to eight wells are expected to be drilled, he said. Currently Namibia has a total of 14 wells, eight of which are concentrated in the Kudu gas field.

Katali said Namibia now has a total of 9 140 square kilometres of 3D seismic data. Before the end of the year 9 900 square kilometres of 3D seismic data will be added.

“There is now a great chance of success as the more data the country has, the greater its chance of accurate drilling and consequently the opportunities for discovery are increased tremendously,” Katali said.

Should Namibia strike black gold, it would take at least four years to produce oil, he said.

Exploration activities planned for 2011-12 include Enigma Oil and Gas which has identified five prospects in its northern blocks. Most likely reserves, in the event of success, are estimated to be nearly 500 million barrels, Katali said.

Enigma expects to find oil, rather than gas, he said.

In its southern blocks, Enigma has identified 11 prospects, with the potential of four billion barrels of oil, Katali said.

Brazilia’s HRT Oil & Gas intends spending US$300 million in its hunt which the company believes can deliver about 5,2 billion barrels of hydrocarbon resources.

Arcadia Expro Namibia and Tower Resources, through its affiliate Neptune Petroleum, has matured a drill ready prospect in Delta, located between the Walvis and Namibe basins. Prospect Delta could contain up to two billion barrels of oil or oil equivalent, and is “truly a world-class frontier exploration opportunity,” Katali said.

The minister said he expects international majors to return to Namibia and will make an announcement in this regard later.

This will further “improve the image of the country as a new petroleum exploration destination,” Katali said.

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