Shell is set to drill two more wells in Namibia within the next 6 to 9 months, driven by “encouraging data” indicating the potential for a new oil basin in the southern African nation, as announced by CEO Wael Sawan on Thursday.
Reuters which reported the news, said Sawan detailed Shell’s plans, which include drilling one exploration well, one appraisal well, and conducting a flow test at its offshore exploration licenses in Namibia.
He noted, “There is a lot of encouraging data that we have identified.”
Both Shell and TotalEnergies from France have achieved promising discoveries in Namibia in recent years, despite the country having no existing oil and gas production.
Sawan revealed that Shell is allocating approximately one quarter of its deepwater exploration budget to Namibia, with the company’s total exploration budget amounting to around $1 billion.