The Ministry of Mines and Energy says the country’s Kudu gas reserves are expected to increase to 10 trillion cubic feet (TCF) from the current estimated 1.3 TCF.
The revised figure is due to the associated gas found within the Graff-1 well by Shell, Yonker, and TotalEnergies’ enormous Venus-1 offshore discovery.
Petroleum Commissioner Maggy Shino said the discovery of light crude oil reserves has transformed the landscape of the Kudu gas field.
“We are seeing that we now have a possibility of us increasing this 1.3 TCF of natural gas to up to ten TCF of gas because of the associated gas that we are seeing within the graph, within the Yonker and within Venus,” she said on Wednesday.
The revelation has the potential to reshape the energy landscape in Namibia and the wider Southern African Development Community (SADC) region.
To tap into this extraordinary energy potential, Namibia has devised an innovative strategy. The country plans to establish a floating platform located 170 kilometres offshore within the BW and Namcor Joint Venture-owned block.
This platform will serve as the conduit for transporting gas from offshore sites to a specialised power plant onshore. The power plant will convert the natural gas into electricity, which will then be distributed to homes and businesses across Namibia.
The Commissioner also underlined the country’s robust existing power network that interconnects Namibia, South Africa, Zambia, Botswana, and Angola, underscoring the capability for efficient energy distribution.
Beyond powering homes, the Kudu Gas Reserves Project has the potential to propel Namibia towards industrialisation.
“Baseload power is the bedrock of industrialisation, and this is precisely what the Kudu Project can provide,” Shino said.
Energy experts believe that the potential multiplication of gas reserves could position the Kudu Project as a regional energy stronghold, bridging power gaps across the SADC region.
Shino added that Namibia’s renewed commitment to the Kudu Project not only secures its energy future but could also set a precedent for global energy innovation.
As Namibia’s energy potential skyrockets, it not only promises self-sufficiency but also embodies a beacon of transformation for the broader energy landscape.
According to NAMCOR, the Kudu Project Development has its purpose in the development of the Kudu Gas Field located offshore.
The Kudu gas discovery is in the northern Orange sub-basin approximately 130 km off the south-west coast of Namibia. It is situated in Petroleum Production Licence 003 (“PPL003”), which has an area of 4,567 square kilometres and the field water depth is approximately 170 metres.
“The gas produced from the Kudu Gas field will be transported in a 170-km pipeline to a power station that will be built and situated at Uab Vlei, approximately 25 km north of Oranjemund, in southern Namibia.
The gas will be used to generate electricity from the Kudu 800MW CCGT Power Station to be constructed and run by NamPower (Pty) Ltd and its partners.”
BW Energy entered into a farm-in agreement for a 56% operating interest in early 2017, with NAMCOR holding a 44% joint venture interest.
BW Energy signed a farm-up agreement with NAMCOR, increasing the Company’s interest to 95% in the licence and closed the transaction in 2021.
The company has a revised integrated development plan that aims to supply competitive power to a growing African market with significant upside potential.
The Kudu Gas Reserves Project is a major development for Namibia and the SADC region. It has the potential to provide much-needed energy security and boost economic growth.