Portuguese oil giant Galp Energia (GALP.LS) announced significant progress in its exploration endeavors in the Mopane field, situated off the coast of Namibia. Following the completion of the initial exploration phase, Galp revealed promising estimates, suggesting the presence of a substantial oil reserve potentially exceeding 10 billion barrels.

The exploration activities conducted by Galp included testing operations at two key wells: Mopane-1X in January and Mopane-2X in March. Notably, both wells, located approximately 8 kilometers apart, yielded promising results, with significant discoveries of light oil columns within high-quality reservoir sands.

Situated in the Orange Basin along the coast of Namibia, the Mopane field represents a promising prospect for oil and gas exploration. This region has garnered attention from major players in the industry, including Shell (SHEL.L) and France's TotalEnergies (TTEF.PA), who have previously made notable discoveries in the area.

Galp reported that the testing operations at the Mopane wells achieved flow rates reaching the maximum allowable limit of 14,000 barrels per day. This milestone positions Mopane as a potentially lucrative commercial discovery with significant production potential.

Galp further highlighted the substantial reserves identified within the Mopane complex, emphasizing that the initial estimates suggest hydrocarbon in-place figures of at least 10 billion barrels of oil equivalent. This estimate underscores the considerable magnitude of the discovery, setting the stage for further exploration and appraisal activities.

Galp holds a substantial 80% stake in Petroleum Exploration Licence 83 (PEL 83), encompassing a vast area of nearly 10,000 square kilometers within the Orange Basin. The potential of the Namibian oil fields presents a promising opportunity for Galp to diversify its revenue streams. Currently, the company maintains robust investments in offshore projects in Brazil and is actively involved in a natural gas venture in Mozambique's Rovuma basin.

Recognizing the immense potential of its projects in Namibia, Galp has expressed intentions to explore avenues for attracting additional investors. The scalability and strategic significance of the Namibian oil reserves make them an attractive proposition for potential partners.

Galp operates across 10 countries spanning three continents, demonstrating a global presence. The company is steadfast in its dedication to fostering sustainable growth across the entire energy value chain. Galp's diverse portfolio comprises Upstream, Industrial and Midstream, Commercial, as well as Renewables and New Businesses segments. Within these business divisions, Galp engages in various activities. This includes exploration and production of oil and natural gas, refining and marketing of oil products, distribution and supply of natural gas, as well as the generation and marketing of electricity.