Namibia Steps Up Preparations for Oil and Gas Industry

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Namibia Steps Up Preparations for Oil and Gas Industry
MODESTUS AMUTSE1

Namibia is stepping up preparations for the expected start of oil production, with Government stressing the need to have the country ready before the first oil comes out of the Orange Basin. Minister of Industries, Mines and Energy Modestus Amutse said Namibia is moving from the exploration stage towards preparing the country for oil production. Speaking at the official opening of the Namibia Oil and Gas Conference 2026 in Windhoek recently, Amutse said final investment decisions are expected from this year, with first oil targeted before the end of the decade.

He said the Government’s focus is now on making sure Namibia is ready onshore while oil production takes place offshore. This includes developing an onshore petroleum supply base, improving fuel storage, establishing a petrochemical testing laboratory and upgrading seismic and geoscientific data systems. “These are the things that separate countries that found oil from countries that were ready for it,” Amutse said. He also stressed the importance of creating opportunities for Namibian businesses and workers through the country’s National Upstream Petroleum Local Content Policy.

The policy aims to increase Namibian employment, give preference to Namibian suppliers and promote the transfer of skills and technology. Amutse said Namibia wants international investors to bring capital and technology, while also working with Namibian companies and communities. “Local content, properly done, is not a tax on your investment. It is the durability of it,” he said. The conference has attracted more than 1 500 delegates and over 70 exhibitors, almost twice the participation recorded two years ago.

Strengthening fuel quality controls

Meanwhile, Namibia is also putting systems in place to ensure that petroleum products entering and being sold in the country meet required quality and quantity standards. The Namibian Standards Institution (NSI) and the Ministry of Industries, Mines and Energy signed a Memorandum of Understanding (MoU) and a Service Level Agreement (SLA) on Wednesday.

Executive Director of the ministry Moses Pakote said the agreements establish a framework for cooperation on petroleum fuel quality, compliance and the development of national infrastructure. He said the partnership will strengthen Namibia’s ability to test and inspect petroleum products and improve the country’s regulatory capacity. The planned petrochemical testing laboratory will play an important role in checking the quality of petroleum fuels and supporting health, safety and environmental protection. The agreements are also expected to help improve consumer protection and strengthen the enforcement of national requirements. According to Pakote, Namibia will benefit from the development of domestic standards for petroleum fuel products and installations, as well as stronger controls against dumping, smuggling and tax evasion.

The measures are also expected to support the collection of national levies and improve the safety of petroleum products used by consumers. Pakote said the work forms part of Namibia’s wider economic development goals, including the creation of jobs and a stronger domestic economy.

First petroleum standards being developed

NSI Chief Executive Officer Dr Eino Mvula said the institution and the ministry have already started developing Namibia’s first petroleum product standards. The first standards are expected to be gazetted in early 2027. A project to establish the first phase of a fuel-testing laboratory and equipment for verifying fuel quantities is also underway. Testing and verification services are expected to start in 2027.

The Service Level Agreement will support the funding of equipment and other infrastructure needed for these services and will set out the work the NSI will carry out on behalf of the ministry. Mvula said the NSI will provide independent sampling, testing and quantity verification services to support the ministry’s monitoring and compliance responsibilities. The new systems are intended to give Namibia greater control over the petroleum sector while protecting consumers and ensuring that products meet the required standards. Pakote said the agreements should ultimately contribute to safer petroleum products, stronger accountability and greater resilience in Namibia’s petroleum sector.]

By Eileen van der Schyff

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