BP has secured a 60% operating stake in three offshore Namibian petroleum licences in a US$2.7 million (about N$50 million) farm-in deal with Eco (Atlantic) Oil & Gas Ltd, marking a major new entry by a supermajor into the country’s Walvis Basin.
The agreement, signed on 10 April 2026, will see BP Namibia Energy Ltd assume operatorship of Petroleum Exploration Licences PEL 97, PEL 99 and PEL 100, while Eco retains a 25% participating interest across all three blocks.
The transaction remains subject to regulatory approvals from Namibia’s Ministry of Industries, Mines and Energy and the Upstream Petroleum Unit at State House.
Under the deal, BP will carry 100% of Eco’s retained 25% stake during the current exploration phase, including Eco’s share of the 10% held by NAMCOR and 5% held by local partners.
This effectively removes near-term funding pressure on Eco while preserving upside exposure.
The agreement also includes a potential additional carry of up to US$63 million, should Eco exercise options to reduce its stake further during the next licence phase.
The initial work programme includes seismic reprocessing on PEL 97 and a minimum 3,000 km² 3D seismic survey across PEL 99 and PEL 100.
Should the joint venture enter the second renewal phase in 2028 and commit to drilling, Eco can either dilute further in exchange for a full carry or retain its stake and fund its share of drilling costs.
Following completion, BP will become operator with a 60% stake across all three licences, with Eco holding 25%, NAMCOR retaining 10%, and local partners holding 5% each.
The licences — known as the Cooper (PEL 97), Guy (PEL 99) and Tamar (PEL 100) blocks — sit within Namibia’s Walvis Basin, an area that has drawn increasing attention as exploration momentum builds across the country’s offshore sector.
Eco CEO Gil Holzman said the deal validates the company’s long-held view of the basin’s potential.
“This successful farm down of our Namibian Walvis Basin licences marks an incredible moment for Namibia, for Eco Atlantic and its shareholders,” Holzman said.
“This transaction is a clear demonstration of our strategy partnering with supermajors to derisk our portfolio while retaining material exposure to significant upside potential with very limited financial requirements.”
Eco has held interests in Namibia since 2011, targeting the Walvis Basin as a frontier exploration play.
The company said the entry of BP brings technical capacity and capital to advance exploration, while allowing Eco to redeploy capital across its broader Atlantic Margin portfolio.
The licences currently carry a combined book value of US$10.95 million, with Eco spending approximately US$1.4 million on Namibian operations in the year to March 2025.
The deal adds to a growing list of major oil companies increasing exposure to Namibia’s offshore basins, as the country positions itself for first oil production by 2030 following recent discoveries in the Orange Basin.
BP’s entry into the Walvis Basin signals expanding confidence beyond the Orange Basin, potentially opening a new frontier in Namibia’s upstream sector.
