Venus delays could push up costs
Delays in reaching a final investment decision on Namibia’s Venus offshore oil project could increase development costs, TotalEnergies has warned, as negotiations with the government continue despite the company receiving contractor offers for the multibillion-dollar development.
TotalEnergies E&P Namibia managing director and country chair Mariam Kane Garcia told African Energy Week 2026 in Cape Town that Venus was ready for a final investment decision, with contractors having submitted offers for major components of the proposed 150,000-barrel-per-day development.
“Any delay will increase the cost of CAPEX,” Kane Garcia said during the Invest in Namibia session, referring to the capital expenditure required to bring the project into production.
The company has received contractor offers covering the floating production, storage and offloading (FPSO) vessel, subsea infrastructure, drilling and wells. This suggests preparations for the development have reached an advanced stage.
Venus, located in the ultra-deep waters of the Orange Basin, is targeting first oil around 2030. However, the timetable depends on resolving outstanding commercial terms and securing investment approval.
The project is expected to become one of Namibia’s first major offshore oil developments, potentially establishing the country as a significant petroleum producer.
Kane Garcia’s remarks suggest that the main challenge is no longer limited to preparing the technical aspects of the project, but also includes reaching commercial agreements that will allow the investment to proceed.
TotalEnergies has not disclosed how much additional capital expenditure delays could entail. It has also not specified a deadline for concluding the outstanding negotiations to safeguard the current project timetable.
TotalEnergies calls for investment certainty
Kane Garcia’s warning echoed comments by TotalEnergies senior vice-president for Africa Mike Sangster, who told the opening ceremony of African Energy Week that major energy developments required predictable regulations, stable fiscal frameworks and access to long-term capital.
Sangster said African countries should determine how their energy resources were developed while creating conditions that encouraged investment in projects that could take decades to deliver returns.
“Every country must be free to shape its energy policy and develop its resources. This is a conviction we share at TotalEnergies,” he said.
His remarks reflected the company’s position that governments must balance national development priorities with the commercial requirements of companies committing substantial capital to oil and gas projects.
Sangster identified Namibia as an important destination in TotalEnergies’ African investment portfolio, citing the Venus and Mopane discoveries, as well as further exploration opportunities in the Orange Basin.
He described Namibia’s offshore discoveries as among Africa’s most promising recent energy developments and reaffirmed the company’s commitment to working with the government and project partners towards final investment decisions.
Successful development of these discoveries, he said, could create opportunities for employment, infrastructure investment, local businesses and government revenue.
His comments also highlighted competition among African countries for investment in large energy projects, with companies weighing development costs, regulatory conditions and long-term commercial prospects before committing capital.
