TotalEnergies SE (TTE) is doubling down on Namibia. The French energy company announced Friday that it's acquiring a 42.5% operated interest in the PEL104 exploration license, located offshore in one of Africa's most promising oil regions.
The deal, struck with Eight Offshore Investments Holdings and Maravilla Oil & Gas, gives TotalEnergies control of operations in a roughly 11,000-square-kilometer block in the Lüderitz Basin. That's a substantial chunk of potentially oil-rich seabed off Namibia's southwestern coast.
Once the transaction closes, TotalEnergies will share the license with Petrobras (PBR), which also holds 42.5%, along with state-owned Namcor at 10% and Eight retaining a 5% stake. It's a partnership setup that's become increasingly common in offshore exploration, spreading both risk and potential reward across multiple players.
Building Momentum in Namibia's Oil Boom
This isn't TotalEnergies' first rodeo in Namibia. In fact, it's barely had time to unpack from its last deal. "After the acquisition in December of a 40% operated interest in PEL83 license, TotalEnergies further strengthens its position in Namibia by entering this new exploration license as operator," said Nicolas Terraz, President Exploration & Production at TotalEnergies.
That PEL83 license sits in the Orange Basin, where the company is developing the significant Mopane discoveries. TotalEnergies took over operatorship last month alongside Paula Amorim, Chairman of Galp, signaling serious intent to develop what could be a major oil province.
The company's Namibian footprint extends beyond drilling rigs and seismic surveys. TotalEnergies is already the fourth-largest fuel distributor in the country, running 43 service stations across Namibia. It's also exploring low-carbon energy projects there, fitting into its broader multi-energy strategy that balances fossil fuel production with renewable investments.
Mozambique LNG Gets Back on Track
In related news, TotalEnergies announced Thursday that it's fully restarting its Mozambique LNG project, one of Africa's largest liquefied natural gas developments. The project, which is 40% complete, had been on hold under Force Majeure conditions due to security concerns in the region.
With nearly all engineering and main equipment procurement already finished during the pause, the company expects first LNG production in 2029. It's a massive bet on African gas that complements the oil exploration push in Namibia.
Stock Performance: TotalEnergies shares gained 0.79% to close at $73.47 on Friday, hovering near the stock's 52-week high of $75.45. The recent acquisitions and project restarts appear to be resonating with investors who see value in the company's African energy strategy.
