Gas to Power Project

Current Status

NAMCOR together with its upstream partners, Tullow Kudu Limited and CIECO E&P (Namibia) Co. Ltd are developing the upstream (offshore) portion of the Kudu Gas Field located 130 km offshore the south-west coast of Namibia, in the Orange Basin. The gas will be used to generate electricity from the Kudu 800MW CCGT Power Station to be constructed and run by NamPower (Pty) Ltd and its partners.


On 8 March 2013, Tullow, NAMCOR and CIECO (the “Upstream Parties”), KuduPower and NamPower (together the “Downstream Parties”) signed the Project Development Agreement (“PDA”) which annexed a Gas Sales Agreement Term Sheet (“GSA Term Sheet”). This marked the entry by the parties into the pre-development phase, which includes Front End Engineering and Design (FEED), conducting pipeline route survey and Floating Production System (FPS) site geotechnical survey. The parties anticipate reaching Final Investment Decision (FID) during second quarter 2014.


    Overview of the Kudu Field

  • Discovered in 1974 by Chevron & partners – 130 km offshore, WD 170 m
  • UN sanctions imposed in 1976 caused foreign companies to withdraw
  • Swakor drilled 2 wells in 1987/88
  • In 1993 Shell & Energy Africa awarded an exploration licence in 1st licencing round
  • Shell withdrew in 2002 after drilling 4 wells
  • ChevronTexaco acquired Shell’s interest but withdrew in 2003
  • Energy Africa assumed 100% interest and transferred 10% to NAMCOR
  • Tullow acquired Energy Africa in 2004 and awarded Production Licence 001 in 2005
  • Itochu farmed-in for 20% in 2007 and a further appraisal well drilled
  • Gas to power negotiations faltered and alternative CNG development plan rejected by MME in 2009
  • Gazprom introduced in 2009 by MME to deliver gas to power and Production Licence 002 awarded to Gazprom /Namcor 54%, Tullow 31%, Itochu 15% but Gazprom withdrew in 2011
  • Production Licence 003 awarded in 2011 to NAMCOR, Itochu & Tullow (Operator)