• Galp is in advanced talks to sell part of its 80% stake in the Mopane offshore oil project in Namibia and expects a deal by year-end.
• The Portuguese firm plans to redirect capital toward higher-return projects while keeping interests in exploration across emerging African basins, including São Tomé and Príncipe.
• The move aligns with Galp’s strategy to balance asset monetization and long-term exploration amid sustained global demand for hydrocarbons.

Portuguese oil company Galp Energia is seeking to divest part of its 80% stake in the Mopane offshore project in Namibia while keeping a strong focus on oil exploration across Africa, a senior company official said on Tuesday, October 21.

Galp, which discovered a significant crude oil deposit off Namibia’s coast — similar to recent finds by TotalEnergies and Shell — has been holding advanced talks to attract a partner for the Mopane development, according to Nuno Bastos, an executive at the company.

The company aims to finalize an agreement by the end of 2025 and is currently evaluating several development options for the discovery, which dates back to 2024.

In its second-quarter 2024 results, released on July 22, 2024, Galp said the planned partial divestment seeks to “crystallize value” and reduce risk exposure while refocusing investment toward projects with higher returns.

This strategy mirrors the company’s broader effort to streamline its portfolio and improve capital efficiency after the Mopane find significantly expanded its exploration footprint in southern Africa.

Alongside its Namibian operations, Galp confirmed its continued interest in exploring other African basins. The firm holds exploration rights for Blocks 6, 11, and 12 off São Tomé and Príncipe, part of a long-term plan to diversify its exploration base beyond southern Africa.

The company’s approach, management said, aims to maintain a balanced portfolio that combines established production, asset value creation, and frontier exploration.
 Executives added that sustained global demand for hydrocarbons supports the rationale for targeting underexplored geological basins across the continent.

Through selective divestments and new exploration efforts, Galp seeks to preserve controlled exposure to oil and gas while optimizing its financial structure. The Namibian sale would free up resources to fund new exploratory programs and reduce long-cycle asset exposure, the company said.

This article was initially published in French by Abdel-Latif Boureima

Adapted in English by Ange Jason Quenum