Shell’s Merlin‑1X Well Delivers Light Oil Discovery in Namibia’s Orange Basin
UK supermajor surpasses earlier results in PEL 0039 as Namibia pushes to become Africa’s next oil producer.
By Samuel Okocha
Shell’s Merlin‑1X well offshore Namibia has delivered the company’s best result to date in the Orange Basin, encountering light oil with “good reservoir quality” and minimal gas.
The discovery marks marks a significant improvement from earlier drilling in the Petroleum Exploration License (PEL) 0039. The block covers 12,000 sq km. That’s more than twice the size of Namibia’s capital city Windhoek. Over the last four years, Shell has drilled ten wells in the license. Merlin-1X, spudded April 8, 2026, is the tentth.
Shell operates the license with QatarEnergy (45%) and NAMCOR (10%) as partners.
“These are encouraging results that add to our understanding of the Orange Basin potential,” Shell’s EVP for Exploration, Strategy and Portfolio, Eugene Okpere, said in a company statement.
“We are progressing this opportunity through a disciplined, data-led approach to establish commerciality, focusing our investment on options that are material, competitive and resilient within our portfolio.”
Shell is considering further drilling is later in 2026 as part of a broader appraisal programme.
Light oil, such as that found in Merlin‑1X, typically commands higher margins than heavy crude, but project viability will depend on reservoir size and extraction costs.
“These results represent a significant step that further strengthens confidence in the Orange Basin as an emerging world-class hydrocarbon province,” QatarEnergy president and CEO Saad Sherida Al-Kaabi said in a separate statement, adding the discovery “aligns with QatarEnergy’s strategy to expand its international upstream portfolio through high-impact exploration.”
QatarEnergy also holds stakes in three other Namibia blocks: PEL0056 at 35.25%, PEL 0091 at 33.03%, and PEL0090 at 27.5%. All four blocks cover 34,000 sq km.
Namibia has seen a string of discoveries since 2022, including Exxon’s Vervoise and TotalEnergies’ Julia. None are producing yet as the southern African country pushes to become , but together they underscore Namibia’s ambition to become Africa’s next oil producer.
