(Bloomberg) – Azule Energy, a joint venture between bp and Eni, is fast-tracking its Namibia oil operations as it competes with companies including TotalEnergies SE to be among the first to produce crude in one of the world’s newest hotspots.
Image: Shell
Azule last year negotiated a stake in Namibia’s block 2914A from operator Rhino Resources, and the partners found oil at the Capricornus well in April. A final investment decision on the project by the end of next year is challenging but possible, which would mean production can begin by 2029, Azule’s Chief Executive Officer Adriano Mangini said.
That would put it in line with potential development plans by TotalEnergies. Discoveries made by Total and Shell Plc in the southern African nation of Namibia three years ago turned it into an attractive exploration destination. But a string of recent misses and a $400 million writedown by Shell due to technical and geological challenges partially dampened the outlook.
Mangini, however, is confident in Azule and its partner’s discovery and they are “starting to look into Capricornus in terms of development,” he said in an interview in Namibia’s capital Windhoek. “We’re ready to stay in Namibia for many years because we know what we already have.”
Earlier this week, Rhino Resources CEO Travis Smithard said the company has an “ambition” to be the first company to produce oil in Namibia.
Azule, established in Angola in 2022, has the option to take over operatorship of the option during the development phase and discussions are ongoing, Mangini said. “We are moving in a productive way, in a full collaboration way,” he added.
