Delays in reaching a final investment decision on Namibia’s Venus offshore oil project could increase development costs, TotalEnergies has warned, as negotiations with the government continue despite the company having received contractor offers for the multibillion-dollar development.
TotalEnergies E&P Namibia managing director and country chair Mariam Kane Garcia told African Energy Week 2026 in Cape Town that Venus was ready for sanction, with contractors having submitted offers for major components of the proposed 150,000-barrel-per-day development.
“Any delay will increase the cost of CAPEX,” Kane Garcia said during the Invest in Namibia session, referring to the capital expenditure required to bring the project into production.
The company has received contractor offers covering the floating production, storage and offloading (FPSO) vessel, subsea infrastructure, drilling and wells, suggesting that preparations for the development have reached an advanced stage.
Venus, located in the ultra-deepwater Orange Basin, is targeting first oil around 2030, although that timetable remains dependent on the resolution of outstanding commercial terms and investment approval.
The project is expected to become one of Namibia’s first major offshore oil developments, potentially establishing the country as a significant petroleum producer.
Kane Garcia’s remarks indicate that the challenge is no longer confined to preparing the technical development of Venus, but also involves reaching commercial arrangements that will allow the investment to proceed.
TotalEnergies has not disclosed how much additional capital expenditure could result from delays, nor has it specified a deadline by which the outstanding negotiations must be concluded to protect the current project timetable.
TotalEnergies calls for investment certainty
Kane Garcia’s warning was reinforced by TotalEnergies senior vice-president for Africa Mike Sangster, who told the opening ceremony of African Energy Week that major energy developments required predictable regulations, stable fiscal frameworks and access to long-term capital.
Sangster said African countries should determine how their energy resources are developed while creating conditions that encourage investment in projects that can take decades to deliver returns.
“Every country must be free to shape its energy policy and develop its resources. This is a conviction we share at TotalEnergies,” he said.
His remarks reflected the company’s position that governments must balance national development priorities with the commercial requirements of companies committing substantial capital to oil and gas projects.
Sangster identified Namibia as an important destination in TotalEnergies’ African investment portfolio, pointing to the Venus and Mopane discoveries and further exploration opportunities in the Orange Basin.
He described Namibia’s offshore discoveries as among Africa’s most promising recent energy developments and reaffirmed the company’s commitment to working with the government and project partners towards final investment decisions.
Successful development of these discoveries, he said, could create opportunities for employment, infrastructure investment, local businesses and government revenue.
His comments also highlighted the competition among African countries for investment in large energy projects, with companies weighing costs, regulatory conditions and long-term commercial prospects before committing capital.
Namibia seeks benefits beyond oil production
During the Invest in Namibia session, head of the Upstream Petroleum Unit in the Office of the Presidency Kornelia Shilunga emphasised the government’s ambition to move from exploration towards production while ensuring that Namibians benefit from the emerging industry.
Shilunga described the priority as moving from “transformation to production”, with local participation, institutional capacity and regulatory development central to the sector’s growth.
The government’s position places importance on creating opportunities for Namibian workers and suppliers, developing technical expertise and ensuring that offshore investments contribute to the domestic economy.
US ambassador to Namibia John Giordano also highlighted the importance of competitive investment conditions, arguing that petroleum resources must be supported by commercial arrangements capable of attracting the capital needed to develop technically demanding projects.
NAMCOR managing director Victoria Sibeya similarly emphasised the need to maintain a “conducive environment for investors” while advancing Namibia’s national interests.
The remarks underline the competing demands facing Namibia as it seeks to move from discoveries to production: securing favourable terms for the country while maintaining the commercial conditions required for companies to invest billions of dollars offshore.
The Invest in Namibia session also heard from other operators active in the country’s petroleum industry.
Galp Upstream Africa director Bruno Melo discussed the development potential of the Mopane discovery, while Rhino Resources chief executive Travis Smithard highlighted cooperation with NAMCOR in strengthening technical capabilities and knowledge-sharing.
Chevron West Africa frontier country manager Beatrice Bienvenu emphasised the importance of sustained industry activity in encouraging local service companies to invest in equipment, certification and workforce development.
Namibian Petroleum Operators Association chairperson Eduardo Rodriguez, who also serves as Shell Namibia’s country chair, highlighted plans for an open and transparent request-for-quotation tendering process intended to improve procurement transparency and supplier access.
Africa’s resources must benefit its people
In his broader address, Sangster argued that Africa should have the freedom to develop its oil, gas and renewable energy resources according to its own circumstances rather than follow a single approach to the global energy transition.
“I have never been more convinced that Africa is rich. And that wealth starts with its people,” he said.
He pointed to the approximately 550 million Africans who remain without electricity, saying the continent’s energy resources should help address shortages that continue to affect economic development and living standards.
“Energy is a fundamental need,” Sangster said.
He highlighted the Mission 300 initiative, which aims to provide electricity access to 300 million Africans by 2030, and said TotalEnergies remained committed to supporting efforts to expand energy access.
Sangster also drew attention to changing global energy conditions and the importance of diversifying supply sources.
“Diversification is about building resilience. Security of supply has never been more important,” he said.
Beyond Namibia, he highlighted TotalEnergies’ involvement in Mozambique’s liquefied natural gas industry, oil developments in Uganda and Tanzania, and renewable energy investments in South Africa.
He said the company’s investments demonstrated how African energy projects could contribute to employment, skills development and opportunities for local businesses.
