BW Energy is working on defining the first exploration target well at the Kudu gas-power project.
The company is also working on securing long-lead items for an exploration program planned for 2025.
In early 2017, BW Energy entered into a farm-in agreement for a 56% operated interest, 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 license and closed the transaction in 2021.
The Kudu gas discovery is in the northern Orange sub-basin, approximately 130 km off the southwest coast of Namibia.
It is situated in Petroleum Production License 003, which has an area of 4,567 square kilometres, and the field war depth is approximately 170 metres.
The field was discovered in 1974 with Kudu-1 and is delineated by seven subsequent wells.
BW Energy is preparing for an independent rig tender while talking with other operators in the Orange Basin about exploring common uses of available resources.
In the first quarter of 2022, the company signed an agreement to purchase the semi-submersible drilling rig West Leo from Aquadrill LLC for use at Kudu.
According to the 2024 half-year report, the analysis of data from the 2023 3D seismic survey and additional data over an adjacent area acquired in 2024 is progressing.
BW Energy is progressing with a revised development plan for the gas-to-power project.
The plan will utilize a repurposed semi-submersible drilling rig as a Floating Production Unit.
Repurposing will optimise the project timeline and significantly reduce capital investments compared to previous development concepts.
The revised development concept offers tangible financial, schedule, and environmental benefits.
Reusing existing facilities also substantially reduces field development-related greenhouse gas emissions compared to a newly built facility.
The revised integrated development plan aims to supply competitive power to a growing African market with significant upside potential.
On August 1, the company announced the acquisition of 17.6 million common shares and 17.6 million share purchase warrants of Reconnaissance Energy Africa Ltd. for an aggregate purchase price of approximately US$16 million.
BW Energy received a 20% non-operating interest in Namibia’s onshore Petroleum Exploration License 73 by participating in the equity raise.
This enables the company to expand its footprint in this strategically important energy region.
