We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Chevron & TotalEnergies Lead Bidding War for Galp's Namibia Project
Read MoreHide Full Article
Key Takeaways
Chevron and TotalEnergies emerge as top bidders for Galp's 40% operating stake in Mopane.
TTE sees strategic value in pairing Mopane with its nearby Venus project for potential synergies.
Galp drew interest from many global majors as Namibia emerges as a major new oil province.
Chevron Corporation (CVX - Free Report) and TotalEnergies SE (TTE - Free Report) have reportedly emerged as the bid leaders to acquire a 40% operating stake in Galp Energia, SGPS, S.A. (GLPEY - Free Report) 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.
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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Chevron & TotalEnergies Lead Bidding War for Galp's Namibia Project
Key Takeaways
Chevron Corporation (CVX - Free Report) and TotalEnergies SE (TTE - Free Report) have reportedly emerged as the bid leaders to acquire a 40% operating stake in Galp Energia, SGPS, S.A. (GLPEY - Free Report) 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.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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.