Namibia is preparing to introduce financial incentives to support the development of the Venus oil field, operated by TotalEnergies, as the country aims to become an oil producer within the next five years.
The initiative was confirmed by Kornelia Shilunga, recently appointed Special Adviser and Head of the Upstream Petroleum Unit in the Namibian Presidency, who acknowledged the scale and financial demands of the deepwater project.
“The government recognises the complexities and high costs associated with the development of the Venus oil field by TotalEnergies,” Shilunga told Bloomberg.
“We are exploring mechanisms to improve financing access, including credit support instruments and partnerships with international lenders, to address capital challenges faced by local enterprises.”
The Venus oil field, discovered in 2022, is located in Block 2913B, approximately 300 kilometers off the coast of Oranjemund, in water depths of about 3,000 metres. It is being developed by TotalEnergies EP Namibia B.V. (TEEPNA), in partnership with Impact Oil & Gas, QatarEnergy, and Namibia’s state-owned oil company NAMCOR.
The development plan includes drilling up to 40 subsea wells, with oil to be processed and stored on a Floating Production, Storage, and Offloading (FPSO) vessel before being exported via tankers. Associated gas is expected to be reinjected into the reservoir to enhance recovery.
If approved, the project would take around five years from the Final Investment Decision (FID) to reach first oil, with the field expected to produce for over two decades.
However, TotalEnergies has delayed its FID from the end of 2025 to 2026. Production estimates have also been revised, with daily output expectations lowered from 160,000 barrels to 150,000 barrels, according to an investor update in October 2024.
Shilunga also noted that the government is considering new licensing rounds to stimulate exploration activity and diversify upstream investment.
She emphasized NAMCOR’s growing role in oil development, aligning with Namibia’s broader goal of maximizing local participation in the petroleum sector.
Namibia is racing to bring its first oil to market before global demand potentially declines in response to the accelerating global transition toward renewable and low-carbon energy sources.
The development of the Venus field marks a pivotal moment for Namibia’s emerging energy sector, with the potential to transform the country into a significant player in the global oil market.
