Shell discovers oil in Namibia’s Orange basin

Shell is in the early stages of exploring for offshore oil and gas in PEL 0039. Eugene Okpere, a Shell EVP, said "these are encouraging results that add to our understanding of the Orange Basin potential."

Key Highlights

  • Shell discovered oil from the Merlin-1X exploration well in Orange basin offshore Namibia.
  • The well delivered the most promising subsurface results to date in the license.
  • More drilling is under consideration for late 2026.

Shell discovered oil at the Merlin-1X exploration well in Orange basin 250 km off the southern coast of Namibia.

Merlin-1X, spudded on Apr. 8, 2026, is the tenth well drilled in Petroleum Exploration License 39 (PEL 0039). The well penetrated the Coniacian play and has delivered the most promising subsurface results to date in PEL 0039, indicating good reservoir quality with light oil and limited associated gas, the operator said in a release June 9.

Shell said additional drilling late this year is under consideration as part of a broader exploratory appraisal program.

PEL 0039 covers 12,000 sq km. Over the last 4 years, 10 wells have been drilled in the license: Graff-1X, La Rona-1X, Jonker-1X, Graff-1A, Lesedi-1X, Cullinan-1X, Jonker-1A, Jonker-2A, Enigma-1X, and Merlin-1X.

Shell is operator of PEL 0039 with 45% working interest. Partners are QatarEnergy (45%) and the National Petroleum Corp. of Namibia (NAMCOR) (10%).

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