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Owambo Basin Project 2


Q2 2024

Tender invitation to selected companies to provide 2D seismic bids for 200 km. Contract signature: May 2024. Acquisition: July-August 2024. First results: Sept-October 2024.  

New licence negotiated in Nama basin, onshore Central Namibia. Procedure for signature.       

Q1 2024

20% Working Interest transferred to 88 Energy. Invitation to Tender out to selected bidders for min.200 line-km of 2D seismic acquisition. New Work Program & Budget for the First Renewal Period agreed with license partners. New exploration licences under negotiation in and outside Namibia.     

Q3 2023

The new 2D seismic confirmed the westerly dip on the AOI 02 structure, and connects with the existing seismic grid in AOI 00, where a distinct high is observed and additional structures are mapped.

Q2 2023

Acquired two lines for a total of 60 km of new 2D seismic and tested the Accelerated Weight Drop (AWD) source in our geological setting. 

Q1 2023

Following the acquisition of 2D seismic over their acreage, ReconAfrica have now recognised the very significant potential of the Damara fold play which has always been Monitor’s primary focus.

Q3 2022

ECC (Environmental Clearance Certificate) signed, valid for 3y, granting authorisation to commence 2D seismic. Change of velocity in depth calculation by means of using passive seismic dataset from 2018.

Q2 2022

Completion of EIA and EMP. Ready to start with 2D seismic preparations for operations. Initial Exploration Period of our PA was extended with 12 months, until 02 Oct 2023.

Q1 2022

Commencement of Environmental Impact Assessment (EIA)and Environmental Management Plan (EMP), authorization expected end Q2 2022, and schedule to proceed with 2D seismic operations immediately after.

Q4 2021

Derisked our prospects further by purchasing additional G & G, namely the well data of Etosha 5-1 and ST-1 as well as 750 km of 2D seismic lines to tie to our AOIs.

Q3 2021

Working Petroleum System ReconAfrica announce drilling results proving a working petroleum system in the Owambo basin, significantly de-risking MEL’s acreage.

Q3 2019

Data Integration Report completed by Pioneer and resource  estimate numbers are calculated.

Q1 2019

Results from passive seismic spectroscopy and remote sensing are available, and in process of combination with existing data, such as conventional seismic and gas shows for the area.

Q4 2018

Remote Sensing and Passive Seismic surveys carried out.

Q4 2018

MEL signs the Petroleum Agreement for blocks 1717 and 1817. PEL 93 is assigned.

Basic Information

1717 and 1817


18,500 km2 = 7,227 mi2


Onshore Namibia, Owambo Basin


Petroleum Exploration License 
Since October 2018

55% MEL

20% 88 Energy

15% Local partner

10% State oil company Namcor


Petroleum Agreement Duration

Initial Expl Period 4 years

First Renewal 2 year

Second Renewal 2 year




Petroleum Agreement Current Phase

First Renewal Exploration Period, 2 years

Monitor are inviting investors to join us in exploring this emerging basin

Petroleum Agreement Major Terms

  • Initial Exploration Period, 4 years, US$ 500,000 commitment. COMPLETED
  • First Renewal Exploration Period, 2 years, US$ 2,000,000. CURRENT
  • Second Renewal Exploration Period, 2 years, US$ 10,000,000. UPCOMING

Key Features


  • AOI 02 covers an anomaly of 58 km², and the Monte-Carlo simulations were run, which results show a range of recoverable resources from 136 to 675mmbo, with a mean of 368mmbo. The gas case has a mean of excess of 1Tcf.  
  • The extensive complex of anticlinal structures identified in AOI 00 are estimated to hold over 500mmbo, with the large anticline in AOI 01 offering similar potential
  • With one of the prospects in AOI 02 holding prospective resources of greater than 350mmbo, success in any of these area will support a major development with at least 80,000bopd evacuated via pipeline to Walvis Bay.
  • Success in all the AOI’s identified thus far could lead to a multi-billion barrel development producing 200,000 – 300,000bopd. 
  • A modest discovery can be developed through the existing rail infrastructure, which also facilitates phased development of any large discovery. 
  • Application of MEL’s exploration techniques to the remainder of the extensive acreage position is likely to reveal sever more areas for further investigation.     


3 AOI within MEL Monitor 3 prospects hydrocarbon oil and gas

Our objective is to complete high-grading work program and be ready to drill most prospective locations in 2025


Geological Setting


Structural model suggests the existence
of large structural traps towards the
southern portion of the block 1817.

The Owambo basin is probably the most important area in terms of hydrocarbons exploration onshore Namibia. Its stratigraphy comprises rocks from Pre-Cambrian times till the Tertiary cover of the Kalahari Sands Formation with a total thickness up to 8000m. Otavi Group, a Neoproterozoic carbonate platform, represents the main target.

Existing G & G Data

  • High Resolution Airborne Magnetic Data: extracted features could be associated to magmatic intrusions that might have influenced on the petroleum system of the area.
  • Radiometric Data interpretation: DRAD anomaly
  • Gravity Data interpretation: two main gravity anomalies detected; several positive gravity anomalies (gravity highs) match well with structural traps mapped from old 2D seismic data.
  • Soil Gas Sampling: geochemical data confirms active petroleum system; higher concentration in surroundings of the potential anticlinal structures.
  • 2D Seismic data: 473 km of conventional 2D seismic data, 6 seismic profiles within the blocks; new interpretation reveals potential targets for exploration; identified ramp anticlines, stratigraphic traps and antiformal traps associated to tectonic inversion and fore-bulge deformation structures.
  • Remote Sensing: a.k.a. Satellite Imaging as DHI carried out recently over 1717 and 1817.
  • Passive seismic spectroscopy over 3 leads based on previous g & g: AOI 00, 01 and 02; results consistent with available data.
High resolution magnetic data over 1717 and 1817. Left: Total Magnetic Intensity. Right: Pole Reduced anomaly map.
First Vertical derivative of the DRAD anomaly.
Ethane concentration dot map from soil sampling.
Existing 2D seismic lines within 1717 and 1817.
Bouguer first vertical derivative.
Seismic line OSH69-2 with interpretation.
Top Intra Mulden Group structural map from conventional 2D seismic and Passive seismic interpretation..

Data integration

  • AOI 00 (385 km² surveyed of which 144 km2 identified as prominent anomaly): over large anticlinal structure (gravity data); higher Ethane gas
    concentration at the surface; remote sensing shows hc seepages; very good correlation with passive seismic anomalies, esp. located on top of the
    anticlinal structure that could be a feasible hc trap. Further to the east, remote sensing suggests more exploration opportunities.


  • AOI 01 (381 km² surveyed): located over gravity high, associated with a large anticlinal structure; passive seismic results not as consistent with all
    existing data; some overlap with Ethane gas readings in the SE;


  • AOI 02 (371 km² surveyed of which 58 km2 identified as prominent anomaly): area with most existing data; two gravity
    anomalies present; intercepted by 2D seismic lines; seismic line OSH4 shows 3 levels of structures; significant coincidence
    with passive seismic anomalies and high readings of Ethane gas on top of structural highs.


AOI 00: Ethane gas anomalies + Passive seismic results.
AOI 01: Gravity data + Passive seismic + Ethane gas.
AOI 02: Ethane gas concentration + Passive seismic anomalies.

AOI02 P-02-01 Resource Estimate

The primary prospect in AOI 02, denoted P-02-01, is intersected by two seismic profiles, is supported by a gravity anomaly, has a positive passive seismic response on at least 2 consecutive passive seismic stations and is surrounded by areas of high Ethane gas readings.

Recent RECO well results have significantly reduced the risks on oil charge and reservoir in the Owambo basin with the result that the probability of geological success (Pg) has increased to over 19%. Shallow Clastic reservoirs in RECO’s 6-2 well are expected to be ~1000m deeper in AOI 02, reducing risk on biodegradation. Play risks on trap and seal remain given low seismic coverage and lack of seal sample analyses.

Monte-Carlo simulations were run for oil and gas cases using a lognormal distribution for the area, to reflect the uncertainty associated with the low level of seismic coverage, and triangular distributions for all other variables. Thickness, porosity and N/G have all been calibrated to the RECO 6-2 well analysis.

Results of the simulation show a range of recoverable resource from 136 to 675mmbo, with a mean of 368mmbo. The gas case has a mean in excess of 1Tcf.

Monte-Carlo simulation MEL Monitor resource estimate

Already in 2019 BP's paper on Energy Outlook put Namibia is one of the three most perspective onshore basins, together with Congo and Angola, for future oil and gas exploration.

According to one of British Petroleum’s speeches, held by Mr. Michael C. Daly, BP’s Executive Vice President Exploration, “Future Trends in Global Oil and Gas Exploration”, looking over the next 30 years, there are three potential sources of yet to find oil:

  • Deepwater:
  • Arctic:
  • Re-exploration onshore:
    • Onshore frontier basins
    • Unexplored rock volume in established basins
    • Tight oil in old giants
    • Shale sweet spots
    • Convergence with EOR


With the prospect of lower demand sooner than assumed at the time of his speech, and weaker prices for oil and gas, the risks and costs of the first two may make them relatively unrewarding in terms of returns for risk and capital involved.

On the third source, he particularly points to sub Sahara of Congo/Angola/Namibia as one of the prominent future prospects to follow. “Onshore, the remaining frontiers and deep land will follow with low cost, low impact, high quality seismic being key.”

Read the speech here.

Why Namibia

Why Namibia

  • Politically and economically stable country
  • Efficient Oil&Gas public sector: NAMCOR + MME
  • Favourable tax regime
  • Perfect climate for exploration, very long dry season
  • Onshore underexplored
  • Geological analogues to known oil basin,  such as Oman
  • Multiple oil seeps
  • Distribution: 32% Urban, 68% Rural
  • Neighbors: Angola, Zambia, Botswana, South Africa
  • GDP: US$ 2.9 Billion
  • GDP Growth: 2.7% Year

Doing business in Namibia

  • Modern concessionary system with a
    Royalty / Tax Fiscal Regime
  • Production Royalty = 5%
  • Production Income Tax (PIT) = 35%
  • An Additional Profits Tax (APT) is levied on
    profits from a License Area
  • The “Ring Fence” on exploration expenditure is enlarged to include any License in Namibia for PIT purposes
  • No Signature, Discovery or Production Bonuses
  • Most Petroleum Exploration items are imported duty free
  • Oil companies are exempt from non-resident Shareholders tax


  • Paid annually
  • Levied at a rate of 35% of taxable income
  • In the computation of taxable income, exploration and operating expenditures are written off immediately (at the time they are incurred) in full (100% depreciation)
  • Development expenditures are depreciated over 3 years (33.33% per annum – straight line) and deducted accordingly.

Our Logistics Advantage

Owambo basin Monitor Exploration MEL Recon Africa
  • Oshivielo train station – in the SE part of MEL’s licence.
  • Walvis Bay is an important logistical port for the southern African region, with capacity to move 1 million containers a year, as well as an International Airport.
  • Oshivielo – Walvis Bay : 660 km
  • TransNamib offers specialised tank wagons for transporting of fuel and petroleum to all main towns and city across Namibia.
  • Windhoek is the administrative, commercial, and industrial center of Namibia. It is also served by two airports.


  • Oshivielo – Windhoek : 500 km


  • Namibia’s railroad is connected to South Africa with regular cargo transportation between the countries.

The Petroleum System

Source Rock

There is increasing evidence that deposition of many mid to late Neoproterozoic (to Early Palaeozoic) organic-rich units was triggered by strong post-glacial sea rise on a global scale, following the “Snowball Earth” type glaciations.

The source rocks with favourable generation potential associated to Otavi Group carbonates in Owambo basin should be distributed immediately to the north of Damara fold belt and to the east of Kaoko belt where the foredeep depozone of the foreland basin system developed.

Potential Carbonate source rock samples of Otavi Group


Potential reservoir rocks in the Owambo basin include Proterozoic carbonates of Otavi and sandstones of the Mulden group. Intra-Damara paleokarst structures may have lost of their porosity but various post-Damara episodes of karsting have produced cavernous porosity which is a major source of groundwater in the basin margins.

Porosity of Otavi carbonates ranges from 15% in logs and 21-37% in outcrops.High permeability in the upper most Otavi Group stratigraphic interval has been encountered in Etosha 5-1A wellbore.

Traps and Exploration Targets

Analysis and interpretation of available 2D seismic data over the blocks, have allowed the identification of four main types of plays within the blocks 1717 and 1817.

A. Ramp anticline: These are large anticlinal folds against thrust faults which have been recognized on gravity and magnetic data as elongated anomalies with SW-NE to the south of the thrust belt front. The anomalies are supported by the structural model defined for a fold a thrust belt. Similar structures have been confirmed by Etosha 5-1 well and seismic data to the west of the basin which are contained within the same structural trend as explained above.

B. Antiformal structures within the fore-bulge depozone: are located to the north of the thrust belt front and are formed due to the push down of the stacked tectonic sheets.

C. Carbonate mounds: mounded features observed on seismic data and outcrops. Stromatolites are the main reservoir units with excellent porosity and permeability.

D. Tectonic inversion anticlines: Anticlinal structures formed as a result of the tectonic inversion of rift-related faults. Nosib siliciclastics, Abenab and eventually Tsumeb carbonates form positive structures identified on seismic.