Page 4 - AfrOil Week 06 2022

AfrOil COMMENTARY AfrOil

(Image: NAMCOR)

Big news out of Namibia

Shell’s discovery at Graff-1 has inspired excitement about the potential of Namibia’s offshore zone

LATE last month, news began to surface of a Graff-1, NAMCOR did not comment on the size
discovery off the coast of Namibia. More specif- of the find or speculate on the course of future
WHAT: ically, Shell (UK) and its partners Qatar Energy development.
Shell and its partners and National Petroleum Corp. of Namibia Instead, it noted that additional laboratory
have confirmed an oil (NAMCOR) were said to have found light crude analysis would be needed to assess the quality of
discovery at PEL 39 oil in Graff-1, an exploration well drilled at PEL the oil and determine potential flow rates. It also
offshore Namibia. 39, a deepwater licence area in the Orange Basin. stressed that the partners would need to explore
The truth of those reports became evident the licence area further in order to gain more
WHY: late last week, when Namibia’s national oil information about the size and potential of the
The new find may be able company (NOC) confirmed the discovery of block’s petroleum system. This additional activ-
to launch commercial hydrocarbons at Graff-1. In a statement, state- ity will include the drilling of a second explora-
production within four owned NAMCOR said that the well had “proved tion well, it said.
years.
a working petroleum system for light oil in the Meanwhile, the other shareholders in the
WHAT NEXT: Orange Basin.” project – Shell Namibia Upstream, a subsidiary
More exploration will be NAMCOR’s announcement has engendered of Shell (UK), and Qatar Energy – also con-
needed to determine the no small amount of excitement. Since last week, firmed the discovery at Graff-1. A spokesperson
extent of the new petrole- multiple industry observers have speculated for Shell told S&P Global Platts on February 4
um system and its ability about the possibility that Graff-1 might open that the companies had found light crude at PEL
to support stand-alone the door for the development of Namibia’s off- 39, saying: “Results from our exploration well
production. shore hydrocarbon resources. It remains to be are encouraging, establishing the presence of a
seen, though, whether this level of enthusiasm working petroleum system with light oil. We’ll
is warranted or premature. continue evaluating the data and conduct fur-
ther exploration activity to determine the extent
Confirmation of discovery of the system and how much of the hydrocar-
In its statement confirming the find at bons can be recovered.”

P4 www. NEWSBASE .com Week 06 09•February•2022