Chevron Corporation CVX and TotalEnergies SE TTE have reportedly emerged as the bid leaders to acquire a 40% operating stake in Galp Energia, SGPS, S.A. GLPEY Mopane complex, following months of evaluation and negotiations. Galp is expected to announce the winning bidder by the end of the year.
Namibia’s offshore oil landscape is rapidly transforming, and the spotlight is firmly on Galp Energia’s Mopane discovery, one of the most significant new oil finds in recent years. With an estimated 10 billion barrels of recoverable resources, the Mopane field has triggered intense competition among global oil majors seeking an early foothold in a region poised to become a top-15 oil producer within the next decade.
Why Mopane Is Transforming Namibia Into an Oil Hotspot
Namibia currently has no commercial hydrocarbon production. However, a series of high-profile discoveries in the Orange Basin, including TotalEnergies’ Venus, have turned the country into one of the most sought-after exploration frontiers.
Mopane, in particular, stands out, backed by its resource scale and strategic location. Galp’s confirmation that dozens of companies, including ExxonMobil, Shell and Petrobras, initially expressed interest underscores the field’s global significance. Although Exxon later exited the bidding and Petrobras acknowledged being outbid by TotalEnergies, competition remains intense among the remaining contenders.
TotalEnergies & Chevron Bring Strategic Advantages & High Stakes
Both Chevron and TotalEnergies have strong strategic incentives to secure the Mopane stake.
Chevron, currently carrying a Zacks Rank #4 (Sell), is working to reinvigorate its frontier exploration portfolio. After mixed drilling results in the Orange Basin earlier this year, the company sees Mopane as a potential anchor asset.
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TotalEnergies, meanwhile, already operates the nearby Venus project, a 150,000-barrel-per-day development. Developing Mopane alongside Venus could offer operational synergies, although Venus’ high gas content adds technical complexity. With major African projects in Mozambique and Uganda facing financial and security hurdles, Namibia has become a key focus for TotalEnergies’ growth plans.
A Tight Race That Will Shape Namibia’s Energy Future
As Galp narrows its shortlist, the contest between TotalEnergies and Chevron is intensifying. Whichever company secures the stake will gain a premier position in one of the world’s most promising new oil provinces. For Namibia, the partnership will help determine the pace, scale and structure of its emergence as a major global oil supplier.
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Chevron Corporation (CVX): Free Stock Analysis Report Galp Energia SGPS SA (GLPEY): Free Stock Analysis Report TotalEnergies SE Sponsored ADR (TTE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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