88 Energy Sells Texas Oil Stake to Boost Exploration in Namibia’s Offshore Energy Sector
Namibia is set to benefit from 88 Energy Limited’s recent decision to sell its non-core oil and gas interests in the United States and reinvest the proceeds into exploration projects within the country.
The Australian-listed company announced it has divested its 75% non-operated working interest in Project Longhorn, a producing asset in Texas’ Permian Basin, for US$3.25 million (approximately N$59 million).
88 Energy confirmed that the funds will be redeployed into “core exploration assets” in Alaska and Namibia, with the latter emerging as one of the world’s most promising energy frontiers.
The company described Namibia as offering “an exceptional opportunity to generate meaningful value for shareholders.”
Managing Director Ashley Gilbert stated that the sale reflects a disciplined approach to capital management, prioritizing projects capable of delivering high returns.
“This transaction further supports our efforts to accelerate progress across our exploration portfolio in Alaska and Namibia,” Gilbert said. “It strengthens 88 Energy’s strategy of pursuing high-impact, exploration-led value creation.”
The sale also relieves the company of significant costs. By exiting Project Longhorn, 88 Energy will no longer participate in a planned multi-well drilling program, estimated at up to US$2 million per well, allowing resources to be redirected to Namibia’s rapidly developing exploration landscape.
Since acquiring Project Longhorn in 2022, 88 Energy generated around US$6.1 million in cash flow from the asset, funding exploration and operational overheads.
With value extracted from the Texas asset, the company now looks to Namibia as its next chapter for growth.
Namibia’s offshore discoveries have positioned the country as a rising player in the global energy market, attracting the attention of major international investors.
For 88 Energy, the shift from mature US oilfields to Namibia’s untapped potential underscores confidence in the country’s future as a key energy hub.
