OREANDA-NEWS. OMV is taking the next step to expand its exploration business in Sub-Saharan Africa by entering an offshore exploration project in Namibia. This is the third major milestone to build up a significant exploration position in the region after acquiring interests in Madagascar and Gabon in 2013.

OMV CEO Gerhard Roiss: “OMV is well on track to position its assets into more high-return upstream projects. Therefore it is part of OMV?s strategy to build up new exploration opportunities also in the region of Sub-Saharan Africa. By achieving this third milestone in just over six months, OMV has once again demonstrated its ability to deliver on strategic objectives.”

The transaction involves the acquisition of a 65% interest in two exploration blocks by Murphy Luderitz Oil Co., Ltd. (Murphy) and OMV from the Brazilian company Cowan Petroleum. OMV will take 25% while Murphy will be the operator of the joint venture, with an interest of 40%. Cowan will retain 20% equity, with the remaining 15% held by the Namibian national oil company NAMCOR. The joint venture partners will conduct an extensive 3D seismic program starting in Q2 2014.

Jaap Huijskes, OMV Executive Board member responsible for Exploration and Production: “Offshore Namibia offers great exploration potential as it is largely unexplored, yet has all the elements of an effective hydrocarbon system. The transaction is fully in line with our growth strategy and our focus on the North Sea region, Black Sea and opportunities like these in Sub-Saharan Africa.”

Details on the transaction:

The permit PEL 046 covers two blocks: 2613A and 2613B offshore Namibia

Size of the permit: 11,000 km2