Multinational conglomerate, Shell, has made a major oil find in the Graff-1 well offshore Namibia, which has been confirmed by the Namibian government.

The discovery is estimated to contain between 250 and 300 million barrels of oil, representing a turning point for the African country’s energy sector while ushering in a new wave of investment for the southern African nation.

The discovery was made on the Petroleum Exploration License 39 – owned by Shell (45 per cent), Qatar Petroleum (45 per cent) and the National Petroleum Corporation of Namibia (10 per cent) with Shell as the operator.

Namibia’s Ministry of Energy and Mines and Shell are awaiting the results on the commercial viability of the find. However, the discovery has demonstrated a working petroleum system as well as the potential of the country’s oil and gas basins.

The discovery has further positioned Namibia as a premier destination for upstream investment as well as a potential oil producer. The country has seen an array of exploration campaigns undertaken over decades, yielding little results.

In the meantime Shell has released its fourth-quarter results, revealing the highest profits in eight years. In the final quarter alone, the company reported adjusted earnings of US$6.4 billion.

In addition to exceeding analysts’ expectations, Shell has announced a US$8.5 billion share buyback program that will take place during the first half of 2022.

Shell CEO, Ben van Beurden reported that Shell “delivered very strong financial performance in 2021, and our financial strength and discipline underpin the transformation of our company.”