This series of setbacks presents a challenge for Namibia’s aspirations of becoming a major crude oil producer.
- Chevron’s exploration well Kapana 1X in Namibia’s Orange Basin did not yield commercial hydrocarbon reserves.
- Namibia has potential for oil production, with major companies like TotalEnergies and Shell discovering an estimated 2.6 billion barrels of oil in the region.
- Setbacks, including Chevron and Shell’s disappointing results, present challenges for Namibia’s goal of becoming a major crude oil producer.
Chevron announced on Wednesday that its exploration well in Namibia’s Orange Basin, named Kapana 1X, did not yield commercial hydrocarbon reserves.
However, The U.S. oil producer said the well called Kapana 1X in the PEL90 block provided valuable information about the basin and the company anticipated it would explore further in Namibia, according to Reuters.
DON’T MISS THIS: Top 10 African countries with the largest oil reserves in 2024
In recent years, several major oil companies have explored oil in Namibia, a country in Southern Africa. In 2023, the National Petroleum Company of Namibia reported a light oil discovery about 270 kilometres offshore.
While Namibia has yet to begin oil production, energy giants like TotalEnergies and Shell have found an estimated 2.6 billion barrels of oil in the region.
These discoveries have fueled projections that Namibia could start producing oil by 2030. Key exploration areas include the Orange Basin, Luderitz, Kavango, and Walvis basins.
However, this series of setbacks presents a challenge for Namibia’s aspirations of becoming a major crude oil producer.
DON’T MISS THIS: 10 African countries that import the most oil from the U.S.
Chevron’s latest result follows a disappointing announcement by Shell just a week earlier. Shell revealed a $400 million write-down on an offshore discovery in Namibia, declaring the project commercially unviable.
The discovery, made in 2022 by Shell, QatarEnergy, and Namibia’s national oil company, had initially generated significant global interest, alongside a similar find by TotalEnergies in a nearby block.
