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Home / Local content, collaboration needed for oil industry …as supermajors ponder development options

Local content, collaboration needed for oil industry …as supermajors ponder development options

2024-04-29  Staff Reporter

Local content, collaboration needed for oil industry …as supermajors ponder development options

The Namibian International Energy Conference (NIEC) 2024 that took place in Windhoek last week emphasised the prioritisation of ‘Namibian content’ or local content centered around empowering domestic business participation.

Conference speakers underscored the role of capacity-building and local content policies in the development of recent oil and gas discoveries, citing collaboration as a catalyst for energy security and economic prosperity.

“Namibia has a unique opportunity to learn from the mistakes of the past, and adopt the best practices of other successful petroleum economies, as we proactively plan for a framework of local content regulation. More specifically, let’s call it “Namibian Content” – because that’s really our focus: creating in-country value across the entire Namibian economy, and ensuring sustainable economic impact from the resources under Namibian soil,” said mines and energy minister Tom Alweendo at the opening of the conference.

Expected to commence oil production by 2030, Namibia stands to gain a great deal from the development of offshore oil and gas. Maggy Shino, the Petroleum Commissioner at the country’s Ministry of Mines and Energy, said: “We are looking at capitalising the oil and gas finds as we make them. We are aiming to create a positive impact to the economy.”

Central to these ambitions is local content development. The African Energy Chamber (AEC), as a strategic partner of NIEC 2024, launched a programme at the conference to facilitate market entry for Namibians in oil and gas. In partnership with energy companies, the programme is aimed at bolstering youth participation across the industry.

“At the Chamber, we are happy to announce – in partnership with energy companies – that we will be ensuring 30-50 Namibians join the job market today. The idea of empowering citizens should be at the core of this industry,” said Njock Ayuk Eyong, executive chairman  of African Energy Chamber.

To further promote local participation in the oil and gas industry, Ndapwilapo Selma Shimutwikeni, CEO of conference organisers RichAfrica Consultancy, announced the launch of a Future Legacy Leaders programme. This is aimed at empowering Namibians in hydrocarbon activities. “Investing in human capital through education and knowledge-sharing will lead to development and prosperity,” said Shimutwikeni. 

Meanwhile, numerous Namibian institutions have pledged support for the development of a domestic oil and gas industry. “As RMB, we have a vision to build an enabling and long-term, sustainable Namibia that will serve all her people now and for generations to come. The announcement of significant hydrocarbon finds point to a new economy that is rapidly developing,” said Phillip Chapman, CEO of Rand Merchant Bank (RMB). 

In addition, Ebson Uanguta, interim Managing Director at the National Petroleum Corporation of Namibia (Namcor), announced that “Starting from November, we are expecting drilling to start taking place, with partners such as Chevron, Rhino Resources and BW Energy”. This and other activities  anticipated to prioritise and accelerate development of Namibia’s oil and gas program. 

Representing Chevron International Exploration & Production, the company’s Namibia country manager, Channa Kurukulasuriya, shared that the corporation is “excited to participate in Namibia’s offshore activities with our 80% participatory interest. The world continues to demand affordable, reliable and clean energy that fuels economic prosperity and reduces inequality. Chevron is committed to delivering on this, demonstrated by our significant investments in both the traditional oil and gas business and the new energy space.”

Meanwhile, Shell, which recently announced a discovery at the Enigma-1X well, is taking time “to examine the vast amount of data and plan the next steps ahead. We are ensuring that all development options are being considered. Namibia is a frontier location, and we are all learning, about the unique geology and the recovery potential,” said the company’s country chair for Namibia, Eduardo Rodriguez.


2024-04-29  Staff Reporter

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