Global Petroleum Limited has entered into early commercial discussions with a potential operating partner for a farm-in agreement for its license PEL94 in the Walvis Basin.
The company holds a 78% participating interest in PEL 94 on Block 2011A, covering 5,798 square kilometres in water depths ranging from 450 to 1550 meters.
Namcor has a 17% carried interest, and private company Aloe Investments Two Hundred and Two (PTY) Ltd. has a 5% carried interest. Global also held PEL 29 from 2010 until its expiry in December 2020.
The license was initially granted to Global Petroleum Namibia Limited, a 100% subsidiary of Global Petroleum Limited, in September 2018.
The license has an initial exploration period of four years from the date of award, split into two sub-periods (three years plus an optional one year), followed by two further optional two-year renewal periods.
Global Petroleum Limited believes a farm-in, if successfully concluded, could be transformational for the business, with a strategic partner potentially enabling the exploitation of the estimated 2,747 million barrels of oil on the license (Unrisked Net Best Estimate (P50) Prospective Resources, as previously announced on March 27, 2023).
After further due diligence and negotiations, Global Petroleum Limited hopes to reach a mutually beneficial agreement with the partner.
The company is renewing the annual license rental for 2024–2025 as it enters the second year of the First Renewal Period in September 2024.
The company recently completed a formal representation meeting at the Ministry of Mines and Energy in Windhoek, Namibia, where the company’s plans were discussed.
Global Petroleum Limited wants to reapply for the license for PEL 29 on Block 2010A in the Walvis Basin and has completed all license work program commitments.
The company held the license for ten years, which expired in December 2020.
In 2017, Global Petroleum Limited completed an infill 2D seismic program of 840 km across the adjacent PEL 29, focusing on the primary prospect, Gemsbok.
The subsequent interpretation confirmed three prospective, large, fault- and dip-closed structures: Gemsbok, Lion, which can be subdivided into Lion North and Lion South, and Dik-Dik.
The entire Walvis Basin is significantly underexplored, although the wells drilled to date have encountered multiple source rocks and reservoir intervals, and in several cases, hydrocarbon has been shown.
Only eight wells have been drilled by Norsk Hydro, Sasol, Ranger, HRT, Repsol, and, most recently, in 2018, by Tullow and Chariot.
Of the wells drilled in the Walvis Basin, Global regards the HRT-operated Wingat-1 well as being the most significant in that liquid hydrocarbons were recovered from the Aptian interval, thus establishing for the first time that a source rock has charged oil into a trap in the Walvis Basin.
