Exxon Mobil has withdrawn from the bidding process to acquire a majority share in Galp Energia's oil discovery in Namibia, reports Reuters.   

The Mopane field, which is estimated to hold at least 10 billion barrels of oil and gas equivalent (boe), has garnered interest from several leading energy companies. 

More than a dozen oil companies, including Shell and Petrobras, had shown interest in Galp's 40% stake in the offshore Mopane discovery.  

Galp is seeking an operator for the field as part of the sale.  

The reasons behind Exxon's decision to exit the bidding process remains unclear. Both Exxon and Galp declined to comment on the matter. 

The Mopane field is situated within the Orange Basin, under petroleum exploration licence 83 (PEL 83), a region with recent significant oil and gas finds.  

In early 2023, Galp tested the Mopane-1X and Mopane-2X wells, discovering substantial light oil reserves in high-quality reservoir sands.  

The company's findings indicated promising porosity, pressure, permeability, and low oil viscosity, with minimal CO₂ and zero H₂S concentrations. 

During testing, the wells achieved maximum flow rates of 14,000boe per day, hinting at Mopane's potential as a major commercial discovery.  

Galp currently holds an 80% stake and operates PEL 83, with the National Petroleum Company of Namibia (NAMCOR) and Custos Energy each owning 10% stake. 

PEL 83 is located north of PEL 39, home to Shell's significant discoveries, and adjacent to PEL 56, where TotalEnergies recently reported a substantial oil find at the Venus-1 well.  

Despite Exxon's withdrawal, other companies continue to engage with Galp regarding the sale, the sources said.  

Recently, it was reported that Petrobras is looking for partners to bid for the stake in Mopane.  

Although no fields in Namibia have been greenlit for development yet, the industry is hopeful that the country might see an economic surge akin to Guyana’s recent oil-driven expansion.