1. EXPLORATION OPPORTUNITIES IN NAMIBIA
Obeth Mbui Kandjoze
NAMCOR (Pty) Ltd
AAPG International Pavilion
Dallas
April 2004

2. Talk outline Fourth Licensing Round Petroleum Systems
Fiscal Changes
New data
Petroleum Systems
The Orange Basin and the Kudu Petroleum System
Walvis Basin
Owambo Basin
Summary

3. Fourth Licensing Round
March 2004 Minister of Mines and Energy announced the Fourth Licensing Round
September 1st-November 30th
Selected blocks in Orange and Walvis Basins
Promotion seminars
London 9th September
Houston 13th September

4. Fourth Licensing Round
Fiscal changes
Level of APT initiation modified to make marginal projects more attractive
APT1 now initiated at 20 % RRR
APT2 now initiated at 22.5% RRR
Royalty and PIT remain at previous levels (5% and 35%)

5. Fourth Licensing Round
New data
Seismic
3300 km of new data acquired in Orange Basin in 2003
1016 km of new data acquired in Walvis Basin in 2003
Surface geochemistry
52 sites sampled January 2004
Heat flow
12 sites measured January 2004
Condensate biomarker
New analyses August 2004

6. Overview The Namibian margin is: volcanic, but
proven petroleum systems at Kudu and Q1911
proven source rocks
Aptian
Turonian-Cenomanian
proven reservoir sequences
sands
carbonates
volcanic features provide sand trapping opportunities in deep water

7. Current activities 4 current licenses: 2814-A –Energy Africa, NAMCOR
Block 1711 – Vanco, NAMCOR, Pamue
Owambo Basin - First Africa Oil Company, NAMCOR
Nama Basin - INA Plc

8. Sedimentary Basins of Namibia
Owambo
Namibe
Walvis-Lüderitz
Nama
Orange

9. Orange Basin Offshore of major river system Proven hydrocarbon system
Significant deep water potential

10. Orange River

11. Kudu Petroleum System Significant proven gas reserves – 1.45 tcf
Gas quality excellent
Dry, sweet gas (96% methane)
Low H2S and CO2
Very small amounts of condensate
High Pressure (7,800 psi)
High Temperature (160 ºC)
c. 4.5 km below sea level
Flow rates in the order of 40 MMscf/day

12. Petroleum system elements
Source rock – marine Aptian
Condensate biomarkers confirm mature, Cretaceous, marine source rock
Reservoir - interbedded sands and lavas
Largely stratigraphic trap
Barremian-Hauterivian?

13. Orange Basin Survey Orange Basin Survey Acquisition Processing
Survey size: 3,300km
Source Volume: 100 bar metre
Source depth: 6m
Streamers: 8,000m
Record Length: 9s
Shot interval: 25m
Acquisition fold: 160
Vessel positioning: DGPS
Gravity and magnetics
Processing
Includes: Free Surface/Radon demultiple, UTMOST, Kirchoff pre-stack time migration

14. Orange Basin Survey
Dip Line across Kudu gas field

15. Orange Basin Survey
Strike Line to SW of Kudu showing rollover of Kudu interval

16. Surface Geochemistry

17. Surface Geochemistry

18. Surface Geochemistry
Gas hydrates found in core

19. Walvis Basin Volcanic character Underexplored Area 105,000 sq km
Water depths 150-3,000m
5 wells have proven elements of petroleum system
Proven source rock
Proven reservoir sequences
Sandstones
Carbonates

20. Source rock

21. Reservoirs 1911/15-1 2012/13-1 3700 m 3800 m 3900 m 4000 m 4100 m B T
LATE ALB B T L
3700 m P A A D A I L M ? -
3800 m T P A
3900 m A L - N A I M
4000 m E R R A B ?
4100 m
1911/15-1
2012/13-1

22. Walvis Basin Survey Walvis Basin Survey Acquisition Processing
Survey size: 990km
Source Volume: 100 bar metre
Source depth: 6m
Streamers: 8,000m
Record Length: 9s
Shot interval: 25m
Acquisition fold: 160
Vessel positioning: DGPS
Gravity and magnetics
Processing
Includes: Free Surface/Radon demultiple, UTMOST, Kirchoff pre-stack time migration

23. Walvis Basin Survey ONDJOU: 4-way dip closure 700 sq km
Large, mature kitchen
Conformable impedance amplitude anomalies
Potentially 5 Bbbl oil

24. Owambo Basin Large, underexplored Bitumen occurrences
Analog – Athel in Oman
Same age
Similar carbonate reef facies as reservoirs
Aerogravity/magnetic survey
Commenced 7th April 2004
c. 7000km, 12 x 60 km
c . 50,000 sq km

25. Aerogravity and magnetic

26. Summary New opportunities available Significant amount of new data
Attractive fiscal terms
Politically stable
Excellent infrastructure

27. For more information visit: Booth #22/23, International Pavilion