TotalEnergies announced that it has entered into an agreement to become the operator of Galp Energia’s Mopane offshore permit in Namibia’s Orange Basin, acquiring a 40% stake in the license. The deal positions TotalEnergies as the leading partner for the Mopane discovery, a field that has attracted significant interest due to its estimated reserves and low‑cost production potential.
By taking a 40% operator stake, TotalEnergies will steer exploration, appraisal, and future production activities, sharing in the field’s upside while leveraging its deep‑water expertise and cost‑efficient development capabilities. The transaction expands the company’s footprint in Southern Africa, a region where TotalEnergies has been building a low‑cost, low‑emission upstream portfolio.
Strategically, the acquisition aligns with TotalEnergies’ two‑pillar strategy of growing a low‑cost oil and gas portfolio while expanding its integrated power business. The Mopane field’s potential to deliver high‑margin barrels supports the company’s goal of increasing cash flow from operations and enhancing shareholder returns. The deal also strengthens TotalEnergies’ competitive position in the African market, where it seeks to secure long‑term production assets that complement its existing operations in Brazil, the U.S., and Europe.
The Mopane discovery is located in Namibia’s Orange Basin, a region that has emerged as a highly prospective area for offshore exploration. TotalEnergies’ deep‑water experience is expected to accelerate development, while Galp’s retained stake allows it to benefit from the field’s upside without bearing full operational risk.
The transaction underscores TotalEnergies’ focus on low‑cost, low‑emission assets and its ambition to build a resilient upstream portfolio in emerging markets. By partnering with Galp, the company can de‑risk exploration while positioning itself to capture the Mopane field’s production potential as it moves toward commercial production.
The deal also signals TotalEnergies’ confidence in Namibia’s offshore potential and its broader strategy to diversify its asset base across regions and production profiles. The partnership is expected to enhance the company’s long‑term growth prospects and support its transition to a more sustainable energy mix.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.