French energy giant TotalEnergies and Norway’s BW Energy are both expected to reach final investment decisions (FIDs) on major offshore projects in Namibia by the fourth quarter of 2026, a senior government official has revealed.
The Petroleum Commissioner Maggy Shino made this known Tuesday in a conference in Paris where she said TotalEnergies is expected to submit its initial oilfield development plan for the Venus oil discovery by June or July, with FID approval in late 2026.
Similarly, Shino said BW Energy will also finalize a development plan for the smaller Kudu gas field by June 2025, with an FID also targeted for late 2026.
TotalEnergies holds a 45.25% stake in the Venus project, located in offshore block 2913B, alongside partners QatarEnergy (35.25%), Impact Oil and Gas (9.5%), and Namibia’s state-owned NAMCOR (10%). Venus is expected to enter the production phase by 2030.
BW Energy controls 95% of the Kudu project, with NAMCOR holding the remaining 5%.
While Shell recently wrote down $400 million in its Namibian discoveries because they were commercially unviable due to high gas content, TotalEnergies remains committed to the Venus project for its huge oil potential.
CEO Patrick Pouyanne has said he believes the French company can navigate the geological hurdles, but that a FID will depend largely on keeping production costs under an internal requirement of $20 per barrel.
The firm says the threshold is necessary for project viability and has since begun discussions with the Namibian government regarding cost-sharing.
On a first-quarter earnings call last month, Pouyanne told investors that talks to persuade the Namibian government to shoulder a higher burden of the costs were still “premature,” but that “it takes two to tango.”
Namibia has yet to commence commercial hydrocarbon production, and these projects represent a significant opportunity for the country to establish itself as a new player in the energy market.
TotalEnergies’ Venus project remains a focal point for the South American economy which has notoriety as one of the most promising oil frontiers in recent years. Its offshore basin still remains largely unexplored despite recent discoveries.
BW Energy also looks forward to developing its Namibia’s Kudu project despite its “best quality” multi-million barrel oil discovery in offshore Gabon.
Announcing the country’s plan to launch a licensing round of offshore oil and gas exploration in March, Shino stated the country was “committed to providing a sustainable operating environment and ensuring that discoveries lead to real economic growth for Namibia.”
