Rhino Resources Volans-1X: Third Consecutive Discovery on PEL 85, Orange Basin

Well Summary: Volans-1X by the Numbers

The Volans-1X well successfully penetrated Upper Cretaceous target reservoirs with excellent petrophysical properties — no water contact observed and a condensate-to-gas ratio that places this firmly in the "rich" gas condensate category. Laboratory testing continued after rig demobilisation in September 2025.

What "Rich Gas Condensate" Means

Volans-1X is a gas condensate discovery — not conventional crude oil. Understanding the distinction matters for investors evaluating the Orange Basin's commercial potential.

Gas vs Condensate vs Crude Oil

A CGR exceeding 140 means that for every million standard cubic feet of gas produced, over 140 barrels of liquid condensate are recovered. This is classified as "rich" — meaning the gas contains significant quantities of valuable liquid hydrocarbons. The ~40° API gravity of the condensate is equivalent to premium light crude, commanding strong market prices and relatively straightforward refining.

The commercial implications differ from crude oil developments, however. Condensate fields require gas handling infrastructure and export solutions — which adds complexity and cost relative to pure oil developments. Whether the Volans-1X discovery is commercially viable at scale will depend on reservoir extent, total volume assessments, and available infrastructure solutions for the Orange Basin.

PEL 85: Three Discoveries, Three Different Reservoirs

Volans-1X is the third consecutive hydrocarbon discovery on PEL 85 (Block 2914A). What makes this sequence particularly significant is that each discovery has encountered different reservoir characteristics and fluid types — suggesting multiple stacked petroleum systems within the licence.

Three consecutive discoveries opening a new play fairway is a strong technical result. It suggests PEL 85 contains multiple independent petroleum traps, each potentially hosting commercial quantities — though volume assessments and further appraisal will be required before development decisions can be made.

Rhino Resources: Who Are They?

Rhino Resources is a private oil and gas exploration company focused on frontier African basins. As operator of PEL 85 with a 42.5% working interest, Rhino has taken a leadership role in establishing the petroleum prospectivity of Block 2914A in the Orange Basin.

The operator's partnership with Azule Energy — itself a joint venture between bp and Eni, formed in 2022 to combine their Angolan oil and gas businesses — brings significant technical and financial capability to PEL 85. Azule's 42.5% stake and its backing by two major oil companies provides strong credibility to the ongoing programme. NAMCOR's 10% carried interest reflects Namibia's standard participation model for national oil company involvement.

The Deepsea Mira: Namibia's Busiest Rig

The Deepsea Mira semi-submersible drilling unit has become a constant presence in Namibian waters. Owned by Northern Ocean and managed by Odfjell Drilling, the rig has conducted multiple Namibia campaigns in 2024-2025 across different operators and licences.

• • Previously drilled for TotalEnergies on PEL 56 (Venus area)
• • Drilled Volans-1X for Rhino Resources on PEL 85 (July–September 2025)
• • Contracted by Shell for the upcoming April 2026 PEL 39 drilling campaign

The Deepsea Mira's continued deployment in Namibian waters reflects the level of drilling activity sustaining the Orange Basin's exploration momentum. Rig availability and scheduling are key practical constraints on drilling timelines across all operators.

Orange Basin Context: How Volans-1X Fits

The Orange Basin offshore Namibia and South Africa has transformed into one of the most actively drilled exploration frontiers globally since TotalEnergies' Venus discovery in 2022. Multiple operators are now active across different licences, with varying discovery outcomes:

Volans-1X adds a gas condensate dimension to the Orange Basin story. While the giant oil fields (Venus, Mopane) dominate attention, gas condensate discoveries like Volans-1X demonstrate that PEL 85 hosts a different — but potentially commercial — petroleum system. Gas condensate fields, particularly those with high CGRs and light liquids, can be attractive development targets, especially if linked to larger regional infrastructure.

Next Steps for PEL 85

Following Volans-1X, the immediate next steps for PEL 85 involve laboratory analysis of the samples collected and interpretation of the full dataset. Key questions the joint venture partners will need to answer:

• • Volume Assessment: Seismic-based volumetric estimates need to define the size of the Volans accumulation
• • New Play Fairway Mapping: The different reservoir type opens a new fairway — additional prospectivity across PEL 85 needs mapping
• • Development Concept: Gas condensate requires different infrastructure than oil — potential tie-in to regional plans will be evaluated
• • Further Drilling: Appraisal wells may be required to delineate the Volans accumulation before development decisions
• • Gas Market: Namibia currently lacks LNG export infrastructure — gas commercialisation will be a key consideration

Investment Considerations

The Volans-1X discovery is noteworthy for several reasons. Three consecutive finds on a single licence is rare and suggests a well-understood petroleum system with multiple trapping configurations. The involvement of Azule Energy — with bp and Eni as parents — brings technical rigour and financial depth to the appraisal process.

The gas condensate nature of the find creates different commercial considerations than the oil-weighted discoveries elsewhere in the Orange Basin. Gas marketing in southern Africa remains challenging due to limited infrastructure. However, as Namibia's oil development progresses toward first production, associated gas infrastructure planning may open new pathways for condensate monetisation.

The broader significance of Volans-1X for Orange Basin investors is the confirmation of multiple petroleum systems at work. The basin is demonstrating depth — not just one play type but several, across different reservoir intervals and fluid types. This increases the exploration prospectivity of nearby acreage and adds technical confidence to the region's long-term development potential. For more on who is active in Namibia's offshore basins, see our full guide: Namibia Oil Companies Guide.

Bottom Line

Rhino Resources' Volans-1X confirms a rich gas condensate discovery with 26m net pay — the third consecutive hydrocarbon find on PEL 85. The CGR exceeding 140 and ~40° API gravity represent high-quality light condensate. Most significantly, the different reservoir type opens a brand-new play fairway within the licence, extending prospectivity beyond the two earlier oil-weighted discoveries.

Laboratory analysis and volumetric assessment will determine next steps. For now, PEL 85 stands as one of the Orange Basin's most consistently successful exploration licences — three wells drilled, three hydrocarbon discoveries made. The question of commerciality, particularly around gas infrastructure and market access, will drive whether and how Volans-1X progresses toward development.

For the broader Namibia exploration story, Volans-1X adds an important data point: the Orange Basin is not a single-play basin. Multiple fluid types, reservoir systems, and trap configurations are present across different licences. That geological diversity reduces basin-level risk even as individual field economics are worked through. See how Namibia's path to first oil in 2029-2030 is taking shape across the entire basin.