There will be demand for project cargo services in southern Namibia if Oslo-listed BW Energy goes ahead with plans to build a gas-fired power station fed from the Kudu gas field.Development of the shallow water deposit with proven reserves of 1.3 trillion cubic feet has been on the back burner for much of the time since 1974 when it was discovered in the Orange sub-basin approximately 130 kilometres off the south-west coast of Namibia.In early 2017 BW Energy entered into a farm-in agreement with Namcor (National Petroleum Corporation of Namibia) for a 56% share.In 2021 BW Energy increased its working interest stake to 95%.Carl K Arnet, CEO of BW Energy, says in the company’s report for the 2021 financial year that the company has significantly revised its plans.Costs will be saved by repurposing a semi-submersible drilling rig as a f loating production platform to feed gas into a power plant operated by the company.The rig was acquired in October 2021 for $14 million. Repurposing will enable optimisation of the project timeline and significantly reduce capital investments compared to previous development concepts, according to Arnet. Reusing existing energy infrastructure will also reduce the project’s environmental footprint. “A development of the Kudu field is an attractive opportunity for BW Energy to engage in the electricity market and potentially fully or partially assume a position as an Independent Power Producer (IPP) through strategic partnering,” says the compa ny.
