Equinor to buy 17.4% stake in Namibian offshore block

Equinor has agreed to purchase a 17.4 per cent participating interest in petroleum exploration licence 90 from Harmattan Energy, a subsidiary of Chevron. The licence is located in the Orange Basin off the coast of Namibia and covers Block 2813B. Chevron operates the block in water depths ranging from 2,300 metres to 3,300 metres.

The transaction represents Equinor’s entry into the Namibian upstream sector. It provides the company with access to a drill-ready prospect, with testing scheduled for 2026. Before the agreement, Harmattan Energy held a 52.5 per cent stake in the licence. Other participants include QatarEnergy, which holds 27.5 per cent, Trago Energy with 10 per cent, and Namibia’s state-owned oil company NAMCOR, also holding 10 per cent. Completion of the deal remains subject to regulatory approval and the fulfilment of closing conditions.

Philippe Mathieu, executive vice-president for exploration and production international at Equinor, stated that the transaction aligns with the company’s strategy to strengthen its international portfolio through focused growth. He described Namibia as a promising basin that adds attractive option value and complements Equinor’s broader Atlantic Margin position. Equinor has gained experience in the South Atlantic Margin through operations in various countries.

Chevron secured an 80 per cent operated working interest in the licence in October 2022. This included covering the costs of initial exploration work, such as a 6,600 square kilometre 3D seismic survey and the first exploration well. In January 2025, Chevron drilled the Kapana-1X well, which did not find commercially viable hydrocarbons. The company is currently evaluating future plans, with environmental filings in place for up to five exploration and five appraisal wells. Activities could begin in 2026. Interest in the Orange Basin has increased following several major discoveries, with the basin viewed as having considerable long-term prospects. Last month, Equinor also signed an agreement to acquire bp’s stake in the Bay du Nord project in the Flemish Pass basin, raising its ownership to 100 per cent.