QatarEnergy has announced a new oil discovery offshore Namibia after the Merlin-1X exploration well in Petroleum Exploration Licence (PEL) 39 encountered light oil in what the company described as the most promising subsurface results recorded in the block to date.
The Merlin-1X well, spudded in April 2026, is the tenth well drilled in the licence, which is operated by Shell. The well targeted the Coniacian play within the Orange Basin and revealed good reservoir quality, light crude oil, and limited associated gas, improving on results from previous wells drilled in the licence.
The discovery marks the fourth hydrocarbon find in PEL 39 and further reinforces the growing prospectivity of Namibia’s Orange Basin, which has emerged as one of the world’s most closely watched exploration regions following a series of major offshore discoveries in recent years. Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs and Chief Executive Officer of QatarEnergy, said the latest discovery builds on three earlier finds in Namibia and strengthens confidence in the Orange Basin as an emerging world-class hydrocarbon province.
READ: SONATRACH, SONIDEP ink three energy MoUs for Niger
QatarEnergy’s strategy
“These results represent a significant step that further strengthens confidence in the Orange Basin as an emerging world-class hydrocarbon province and aligns with QatarEnergy’s strategy to expand its international upstream portfolio through high-impact exploration,” Al-Kaabi said.
According to Shell, the well results have enhanced the company’s understanding of the basin’s resource potential and will support ongoing assessments of commercial viability across the licence area. Further drilling activities are being considered later in 2026 as part of a broader exploration and appraisal programme. Eugene Okpere, Executive Vice President for Exploration, Strategy and Portfolio at Shell, said the discovery provides valuable geological data and supports a disciplined evaluation of future development opportunities.
PEL 39 is operated by Shell in partnership with QatarEnergy and Namibia’s national oil company, NAMCOR. QatarEnergy holds a 45% interest in the licence and also has stakes in PEL 56, PEL 90 and PEL 91, giving it exposure to approximately 34,000 square kilometres of offshore acreage in Namibia.
The Merlin-1X well was drilled using the Deepsea Mira, owned by Northern Ocean and managed by Odfjell Drilling. The rig commenced operations offshore Namibia under a contract that includes one firm well and an option for an additional well. The latest discovery adds further momentum to Namibia’s offshore exploration success and strengthens expectations that the Orange Basin could become a major source of future oil production.
