Shell’s chief executive, Wael Sawan, says he is “positive” about the results so far from its exploration and appraisal drilling campaign offshore Namibia.
The oil major CEO, according to Upstream, however, cautioned that it is too early to unveil a timeline for first production.
Shell is currently conducting appraisal work on PEL-39 to determine the commercial viability of the hydrocarbon.
In June, the company cautioned that first oil from its discovery in Namibia is unlikely before 2030.
Sawan, who was appointed at the beginning of the year to head the global oil and gas major, said he hopes for clarity in the coming months regarding how best to exploit oil discoveries and project schedules from its Namibia discovery.
This comes as Shell confirmed to Reuters this month that it had successfully completed drilling a fourth exploration well, Lesedi-1X, in Namibia, which confirmed the presence of hydrocarbons.
In March, Shell and its partners announced a significant discovery of light oil in the Jonker-1X deep-water exploration well, located approximately 270 kilometers off the Namibian coast in the offshore region.
The PEL-39 Exploration License is held by a consortium comprised of QatarEnergy (45% working interest), Shell (Operator with a 45% working interest), and the National Petroleum Corporation of Namibia (NAMCOR) (10% working interest).
Oil is expected to become a game-changer for the Namibian economy, with Namcor forecasting that the country’s newly discovered oil reserves could grow the country’s gross domestic product (GDP) from the current US$12.3 billion to U$37 billion at peak production levels.
