The group of oil producers OPEC+, having lost Angola and other players in recent years, is eyeing Namibia for possible membership, as Namibia prepares to be Africa’s fourth-largest oil producer in the next decade.
Based on existing discoveries, Namibia expects to reach 700,000 barrels per day (bpd) of maximum production capacity in the next decade.
This value is lower than Angola’s production, of around 1.1 million bpd. Angola left OPEC in December last year due to a lower-than-expected production ceiling it received from OPEC+, whose members are reducing production to help support prices.
OPEC+’s initial focus would be to see Namibia adhere to its Charter of Cooperation. Brazil joined the letter in January.
Eventually, OPEC, the main oil exporting group that together with Russia and others forms OPEC+, would like to see Namibia become a full member, said NJ Ayuk, executive chairman of the African Energy Chamber, who , according to him, was involved in facilitating talks between the two sides.
OPEC has begun its “charm offensive,” he said, adding that the outcome of the negotiations is unclear at this stage.
OPEC Secretary-General Haitham Al Ghais was quoted in February as saying that OPEC was holding talks with several countries about joining the charter, without naming them.
About 2.6 billion barrels of oil have been discovered in Namibia this decade so far, Pranav Joshi of energy consultancy Rystad Energy told Reuters.
In addition to Total and Shell, companies such as Chevron, Rhino Resources, Eco Atlantic Oil & Gas and Galp Energia are conducting exploration and evaluation activities.
2024-04-15 22:01:32