Namibia’s offshore Orange Basin has rapidly emerged as one of the world’s most promising oil exploration frontiers, driven by its substantial hydrocarbon potential and geological similarities to prolific regions like Guyana and Brazil’s Santos Basin. Since 2022, the basin has seen significant light oil discoveries by major players such as TotalEnergies (Venus), Shell (Graff, La Rona, Jonker), Galp Energia (Mopane), and the Rhino/BP-ENI JV (Capricornus), with over 80% of recent wells yielding hydrocarbons. Shell’s announcement on August 18, 2025, of plans to drill five new exploration wells in 2026 on its PEL 39 block, despite a $400 million write-down earlier in 2025 due to mixed appraisal results, underscores the basin’s enduring appeal despite geological complexities. This surge in activity, coupled with supportive Namibian fiscal terms, positions the basin as a transformative force in global energy markets, potentially rivaling Guyana and Suriname. In this dynamic landscape, Oregen Energy Corp. (CSE: ORNG | FSE: A1S), formerly Supernova Metals Corp., is strategically positioning itself to capitalize on these opportunities through its flagship asset in Block 2712A, bolstered by recent acquisitions and financing efforts.
Oregen’s primary asset is its 33.95% indirect interest in offshore Block 2712A, spanning 5,484 km² in the heart of the Orange Basin with water depths of 2,800 to 3,900 meters, aligning with the depths of nearby major discoveries. Strategically located adjacent to licenses held by supermajors like Chevron, TotalEnergies, Galp Energia, and Shell, the block benefits from regional exploration momentum, with Shell’s 2026 drilling plans potentially providing subsurface data that de-risks adjacent prospects. In early 2025, Oregen acquired NamLith Resources Corp., securing an 8.75% indirect working interest in Block 2712A via a 12.5% equity stake in WestOil Ltd., the private entity holding a 70% interest in the block’s license (PEL 107). On August 13, 2025, Oregen completed the acquisition of Oranam Energy Ltd., which held a 36% stake in WestOil, for USD $1 million in cash and 22 million Oregen common shares, subject to an 18-month escrow with phased releases. This increased Oregen’s indirect interest to 25.2%, resulting in a total net interest of 33.95% and a 48.5% equity stake in WestOil, granting operatorship. To support this acquisition and its exploration program, Oregen and its subsidiary, 1541585 B.C. Ltd. (FinanceCo), raised CAD $3.6 million through two private placements. The LIFE Offering issued 4.77 million Oregen Units at CAD $0.36 each for CAD $1.72 million, with a second tranche expected in September 2025, while the Private Placement Offering issued 5.33 million FinanceCo Units at CAD $0.36 each for CAD $1.92 million, later exchanged for Oregen securities. Each unit includes one share and one warrant exercisable at CAD $0.54 until August 13, 2027, with accelerated expiry if Oregen’s share price exceeds CAD $0.72 for 20 consecutive trading days. The offerings, led by Research Capital Corp., Canaccord Genuity Corp., and Roth Canada Inc., included CAD $190,293 in cash commissions and 607,760 broker warrants, with proceeds funding the acquisition, working capital, and general corporate purposes.
Oregen is advancing a methodical exploration program to de-risk Block 2712A. In May 2025, the company completed an independent National Instrument 51-101 technical report, confirming the block’s geological similarities to nearby discoveries like Venus and Graff. Its phased data acquisition includes interpreting existing 2D seismic in Q2 2025, acquiring high-resolution 2D seismic in Q3 2025, and advanced 3D seismic in Q4 2025 to pinpoint drilling targets within the basin’s Cretaceous play fairways. Led by a reconstituted team, including CEO Mason Granger, CFO Sean McGrath, VP of Exploration Stuart Munro, and directors Michael Humphries and Ken Brophy, supported by industry veterans Tim O’Hanlon and Adrian Goodisman, Oregen is well-equipped to execute in this challenging deepwater environment. To mitigate the high costs of exploration, Oregen is launching a farm-out process in early 2026, targeting major partners to provide capital and expertise through cash payments and carried interests for seismic and initial wells, aligning with the basin’s broader activity, including over 10 wells planned by majors in 2025–2026. Drilling on Block 2712A is slated for late 2026 or 2027, contingent on seismic results and farm-out success.
With a fully diluted share count of approximately 79.6 million and a market capitalization of CAD $16 million, Oregen appears undervalued compared to peers like Sintana Energy (CAD $222 million) and Pancontinental Energy (AUD $106 million), suggesting significant upside potential as exploration milestones are met. The company’s early-mover advantage, operatorship, and proximity to major discoveries enhance its appeal, while its pursuit of additional blocks in the Orange, Walvis, and Luderitz Basins signals a broader growth strategy. However, deepwater exploration carries risks, including high drilling costs, geological uncertainties, and potential regulatory hurdles, as evidenced by Shell’s recent write-down. Oregen’s farm-out strategy and financial prudence help mitigate these, but success hinges on execution and market conditions. With a robust roadmap and strategic positioning, Oregen offers an attractive opportunity for investors seeking exposure to one of the world’s most active oil frontiers. For detailed updates, visit https://oregen.com.
