Namibia approves bp's entry as operator of three Walvis Basin licences

Namibia's Minister of Industries, Mines and Energy has approved Eco (Atlantic) Oil & Gas's transfer of a 60% interest in three offshore exploration licences to bp. This was the last government condition on a farm-out agreed in April 2026, and it makes bp operator across the three blocks in the Walvis Basin.

The licences are PEL97 (Cooper), PEL99 (Guy) and PEL100 (Tamar). Eco and bp are now completing the remaining closing steps and expect the deal to complete soon, after which BP Namibia Energy will become operator. Eco keeps a 25% interest, state oil company NAMCOR holds 10% and local partners 5%.

bp will pay Eco $2.7 million in cash and will fund Eco's 25% share of costs during the current exploration phase, as well as Eco's proportionate share of NAMCOR's and the local partners' interests.

The government-approved work programme focuses on seismic data: reprocessing on PEL97 and at least 3,000 km² of new 3D seismic over PEL99 and PEL100. There is no drilling commitment at this stage.

The deal includes a second stage. If the partners enter the Second Renewal Period in 2028 and commit to drilling, Eco can transfer a further 10% to bp on each licence. bp would then fund Eco's remaining 15%, capped at $21 million per well per licence, or $63 million across all three.

Eco CEO Gil Holzman called the approval a significant milestone. For bp, the deal gives it an operated position in a frontier basin at the low cost of the seismic phase, with the option to expand in 2028.

What to watch: formal closing in the coming weeks, contracts for the 3D seismic survey, and bp's 2028 drilling decision.

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