Shell intends to conduct drilling in Namibia for two additional wells within the next 6 to 9 months. The CEO, Wael Sawan, mentioned on Thursday that the company is motivated by promising data, which suggests the potential establishment of a new oil reservoir in the southern African nation.
Shell plans to drill one exploration well, one appraisal well, and conduct one flow test at its exploration licences offshore Namibia, Sawan said in a call with analysts.
“There is a lot of encouraging data that we have identified,” he said.
Shell and France’s TotalEnergies (TTEF.PA) have made several promising discoveries in recent years in the country, which has no oil and gas production.
According to Sawan, Shell is allocating approximately 25% of its deepwater exploration funds to projects in Namibia. The company’s total exploration budget amounts to about $1 billion.
