French energy major TotalEnergies is moving closer to a first development phase on Namibia’s offshore petroleum licence PEL 83, outlining plans to deploy a large floating production, storage and offloading (FPSO) vessel at the Mopane oil discovery.
In its 2025 results presentation and 2026 outlook released on Wednesday, the company said it is working on the “maturation of the full plan for a first development” after taking over operatorship of the licence in December 2025 under a deal with Portugal’s Galp.
TotalEnergies said the initial development would be centred on an FPSO with oil production capacity exceeding 200,000 barrels per day, underscoring the scale of the offshore find in the emerging Namibian basin.
The company plans to carry out an exploration and appraisal drilling programme between 2026 and 2027 to refine the project configuration and confirm recoverable volumes. One appraisal well, dubbed the Mopane Extension well, is scheduled for 2026 and is expected to help quantify the maximum recoverable resources from the discovery. Two further appraisal wells are planned for 2027.
The Mopane discovery is currently estimated to contain between 800 million and 1.1 billion barrels of oil equivalent, according to TotalEnergies. The appraisal campaign is intended to confirm reservoir size, production capacity and the optimal development concept ahead of an investment decision.
A project timeline included in the presentation shows that TotalEnergies and Galp are targeting a final investment decision (FID) in 2028. The group did not provide estimates for development costs or indicate when first oil could be achieved.
The move marks another step in TotalEnergies’ growing presence offshore Namibia, which has emerged as one of the most closely watched new oil and gas frontiers following a series of major discoveries since 2022.
Under the December 2025 agreement, TotalEnergies assumed operatorship of PEL 83 with a 40 percent stake, taking over from Galp, which had previously led exploration efforts on the block. The licence includes the Mopane discovery, regarded as one of the most significant finds in Namibia’s offshore Orange Basin to date.
As part of the broader transaction between the two companies, Galp will receive a 10 percent stake in offshore licence PEL 56, which hosts the Venus oil and gas discovery, as well as a 9.39 percent interest in block PEL 91.
The agreement also sets out a cost-sharing arrangement under which TotalEnergies will carry 50 percent of the exploration, appraisal and first development expenditures at Mopane on Galp’s behalf. Galp is expected to reimburse those costs from 50 percent of its future cash flows generated by the project.
TotalEnergies said the transaction has been submitted to Namibian regulatory authorities and is expected to be finalised later this year, subject to approvals.
Namibia has attracted increasing attention from international energy companies as exploration success in the Orange Basin raises the prospect of the country becoming a new oil producer later this decade. However, the government has stressed the need to balance hydrocarbon development with environmental safeguards and long-term economic benefits.
TotalEnergies did not comment on expected production start dates or export routes, but the scale of the planned FPSO suggests Mopane could rank among the largest offshore developments in sub-Saharan Africa if sanctioned.
The company said further technical work and appraisal drilling will be critical in determining the final size, cost and timing of the project before a final investment decision is taken.
Background to TotalEnergies operations in Namibia
TotalEnergies has steadily expanded its footprint in southern Africa as part of its strategy to secure long-life, large-scale offshore oil and gas assets. The company already operates the giant Venus discovery offshore Namibia and has positioned the country as a core growth area alongside projects in Guyana, Brazil and Mozambique.
Namibia emerged as a major global exploration hotspot after a series of deepwater discoveries in the Orange Basin from 2022, transforming perceptions of its hydrocarbon potential. Prior to this, the country had no commercial oil production despite decades of exploration.
Portugal’s Galp was among the early movers in the basin, leading exploration on licence PEL 83 and announcing the Mopane discovery, which proved the presence of significant oil-bearing reservoirs. The discovery helped de-risk Namibia’s offshore acreage and attracted larger international operators.
In December 2025, TotalEnergies and Galp agreed on a farm-in and asset swap that handed operatorship of PEL 83 to TotalEnergies. The deal reflected Galp’s strategy to monetise discoveries while sharing development risk, and TotalEnergies’ preference for operatorship on technically complex deepwater projects.
The Mopane discovery lies offshore Namibia, where the government is seeking to develop an upstream oil and gas industry that can support economic growth, jobs and infrastructure, while avoiding the resource-dependence challenges seen elsewhere.
For TotalEnergies, Mopane complements its Venus project and strengthens its position as the dominant international operator in Namibia’s offshore sector. The company has emphasised phased development, cost discipline and alignment with energy transition goals, including lower-carbon intensity production.
Namibia’s regulatory authorities are still building capacity to manage a potential oil boom, making appraisal results, project economics and regulatory approvals critical factors in determining whether Mopane proceeds to full-scale development later this decade.
