A venture comprising Galp Energia, Custos Energy and Namcor will start drilling two wells in the Orange Basin on PEL 83 Blocks 2812A/2814B.
A semi-submersible rig, Hercules, hired from SFL Corporation to work on the two wells should arrive at Walvis Bay on 4 November 2023.
Hercules has 115 days to work on two wells – Well-1X and Well-2X – on the Mopane complex, estimated to hold 10 billion barrels.
The contract, valued at US$50m, is for two wells plus optional well testing.
Portugal’s Galp Energia’s subsidiary operates PEL 83 in Blocks 2812A/2814B, where Custos Energy and Namcor each own 10% working interests.
Custos Energy CEO Knowledge Katti says the Mopane complex represents one of the basin’s most attractive opportunities.
“The significant prospectivity of PEL 83, together with its relatively shallower water depth, position it to be one of the most significant and profitable developments in the Orange Basin,” Katti says.
SFL CEO Ole B. Hjertaker says the new contract illustrates the attractiveness and versatility of Hercules as a harsh environment oil exploration and development rig for the international market.
“With increasing demand and few available drilling rigs with Hercules’ capabilities, we see additional upside in day rates and contract term from 2024 onwards,” Hjertaker says.