88 Energy and Monitor, with an agreed maximum commitment of US$1 million, will jointly fund the Stage 1A program under Petroleum Exploration Licence (PEL 93) in Namibia.
The initiative follows the Ministry of Mines and Energy’s grant of a 12-month extension in July 2025 to the First Renewal Exploration Period, which extends the licence until 2 October 2026.
The revised work program is part of the joint venture’s farm-in agreement and is designed to advance exploration in a measured and cost-effective way.
Stage 1A includes a high-resolution airborne geophysical survey that will combine gravity, magnetic, and radiometric data, the preparation of a certified prospective resource report, the identification of drilling locations, and the development of an Authority for Expenditure to guide future exploration wells.
At the core of this exploration plan is the Lead 9 structure, a prominent anticlinal feature highlighted during 2024 seismic work, alongside other prospective leads in the southeastern reaches of the block.
Four partners currently hold PEL 93. Monitor Exploration is the operator with a 55 per cent working interest, while Legend Oil Namibia holds 15 per cent.
The state-owned National Petroleum Corporation of Namibia (NAMCOR) holds a 10 per cent stake, and 88 Energy, through its Namibian subsidiary, has acquired a 20 per cent stake following Stage 1 of the farm-in agreement.
Under future stages of the agreement, 88 Energy has the option to increase its holding to as much as 45 per cent by funding additional exploration work.
The extension and new program follow 88 Energy’s acquisition of its 20 per cent working interest in late 2022, marking its entry into Namibia’s onshore energy sector.
That deal enabled the company to secure a foothold in a frontier basin with growing regional significance, while providing shareholders with exposure to early-stage oil and gas potential in Namibia.
For shareholders, the Namibian asset represents a significant diversification into one of the world’s most closely watched hydrocarbon frontiers.
With offshore discoveries already drawing global attention, onshore basins like Owambo are now emerging as an essential part of Namibia’s energy future.
Exploration interest in the region is being fuelled by nearby activity.
ReconAfrica’s Kavango West 1X well, currently being drilled in adjacent acreage, is targeting similar geological structures in the Owambo Basin.
Success there could prove transformative, validating the petroleum system across the region and adding material value to PEL 93.
This is one of the reasons shareholders have backed 88 Energy’s Namibian venture, seeing it as a relatively low-cost option on a potentially significant onshore resource play.
By committing US$1 million in partnership with Monitor, 88 Energy is progressing exploration in Namibia without heavy upfront costs, a move that aligns with shareholder expectations of prudent spending.
The phased, de-risked approach reflects the company’s strategy to advance frontier exploration while safeguarding investor capital.
If the Stage 1A surveys confirm the scale and quality of the identified leads, 88 Energy and its partners will be well-positioned to attract further investment, advance to drilling, and potentially deliver a new source of hydrocarbons in Namibia’s evolving energy landscape.
88E Price at posting:
2.2¢ Sentiment: None Disclosure: Held
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