Namibia Reviews TotalEnergies’ Venus Oil Project Plan, Potentially Generating N$229 Billion in Revenue
The Namibian government has begun reviewing the field development plan (FDP) submitted by TotalEnergies for the proposed Venus oil project, moving the initiative closer to negotiations and a final investment decision.
Prime Minister Elijah Ngurare stated that the upstream petroleum unit within the Office of the President has made significant progress on technical and policy matters, including an initial assessment of the FDP.
Ngurare explained that the unit is in the first phase of reviewing the plan and is providing feedback to support upcoming negotiations and the eventual final investment decision.
He added that the unit has completed regional consultations on Namibia’s local content policy and submitted proposed amendments to petroleum legislation for parliamentary consideration.
Officials have also forwarded the proposed organizational structure of the unit to the Public Service Commission for review.
According to the project’s environmental and social impact assessment, the Venus oil project could generate between N$127 billion and N$229 billion in government revenue over 25 years.
The assessment projects that oil income could contribute between 7.9% and 14.2% of total government revenue, based on oil prices ranging from $50 to $75 per barrel.
The project is being advanced through a joint venture led by TotalEnergies, with partners QatarEnergy, Impact Oil and Gas, and the National Petroleum Corporation of Namibia (Namcor) holding participating interests.
The assessment notes that in the early production phase, government earnings will primarily come from royalties and export levies, while investors recover development costs before petroleum income tax payments begin. Early revenues are expected to remain high due to strong initial output levels.
Once investment costs are recovered, petroleum income tax will become the main source of government revenue, surpassing royalties and export levies.
As Namcor is fully state-owned, any income from its equity stake will flow directly to the government.
The report highlights that the project’s fiscal impact will evolve over time, with early revenues tied to production-based charges and longer-term returns influenced by oil prices, production performance, and cost recovery.
