Namibia's Minister of Mines and Energy, Hon. Tom Alweendo, opened a country-focused session at AEW 2023, as key policy makers and companies gave an overview of the country's exploration and production opportunities.
Namibia's Minister of Mines and Energy, Tom Alweendo, turned the spotlight on the country on the first day of African Energy Week (AEW) 2023 - the largest gathering of energy stakeholders and policymakers on the continent and organised by the voice of the African energy sector, the African Energy Week. Energy Chamber - in Cape Town on 17 October with a keynote speech. The Minister gave an update on Namibia's latest oil and gas discoveries and progress on green hydrogen, while presenting the many investment opportunities across the country.
"In terms of energy transition, our green hydrogen strategy is one of the most important activities we are undertaking. Our mission is to become a world-class green hydrogen hub," said Minister Alweendo, adding: "With our new discoveries this year and last, we are on the cusp of something special. We intend to manage our oil and gas sector to transform our economy. We are about to introduce many market policies to ensure that value is generated in the country from these oil and gas resources.
Representing one of Africa's most exciting exploration frontiers, the Invest in Namibia Energies session - sponsored by the Namibia International Energy Conference - brought together an impressive group of policy makers and business leaders who provided an in-depth insight into the region's upstream exploration opportunities.
"The future of the world begins with Africa; one of the richest continents in the world," said Dr Marcio Rocha Mello, president of petroleum systems modelling company, Brazil Petroleum Systems, adding, "Namibia's future is unique."
« En termes de technologie, nous acquérons des études sismiques à travers la Namibie sur une période de 20 ans », a déclaré Chris Drage, vice-président principal des ventes de la société d’acquisition sismique PGS, ajoutant : « L’essentiel est que nous travaillions ensemble pour assurez-vous que les navires sont ici et qu’ils restent dans cette partie de l’Afrique alors que nous commençons à collecter ensemble des données plus efficacement.
Namibia's energy sector has developed rapidly in a short space of time thanks to five recent major oil and gas discoveries, including the Venus-1X, Graff-1X, Jonker-1X, La Rona-1X and Lesedi-1X exploration projects. In total, an estimated 11 billion barrels of oil reserves have been discovered offshore Namibia, putting the country on a par with its northern neighbour and sub-Saharan Africa's largest oil producer, Angola.
"Attracting investment depends on the results we see. Everything is much bigger and much better than we expected when we were exploring," said Maggy Shino, Petroleum Commissioner to Namibia's Minister of Mines and Energy, adding: "So we are in a space where we are looking for bigger financial muscle and companies with more strength to help us move these things forward.
Hampered by a lack of exploration efforts until recent years, Namibia has been largely neglected by the oil majors. However, following major discoveries in the offshore Orange Basin and the onshore Kavango Basin in 2022 and 2023, the country is expecting a major oil boom in the coming years.
« Nous reconnaissons que pendant l’exploration, il y a des émissions de carbone, ce qui nous donne l’opportunité de créer une solide stratégie environnementale, sociale et de gouvernance, qui est effectivement là où nous en sommes », a déclaré Shiwana Ndeunyema, directeur général par intérim de la National Oil Company (NOC) de Namibie. ), Namcor.
Commenting on the country's huge oil potential and the development of local content, Channa Kurukulasuriya, Country Manager of Chevron's oil and gas supermajor, said: "Chevron is committed to developing local content. Ultimately, the goal is to create the capacity in the country to have a robust oil and gas industry.
"We have trained over 360 Namibians to varying degrees," said Nillian N. Mulemi, CEO of the Petrofund government programme, adding: "We have also provided specialist oil and gas training to over 60 Namibians. 40% of them work in the NOC and almost all of the experts you talk to in the NOC who have expertise in oil and gas come from Petrofund funding.
The Namibian government has sought to engage multinational companies to compete for multi-billion dollar projects in the country. Although still in the exploration phase, this southern African country is poised to benefit from its immense hydrocarbon potential through the exploration and development of oil and gas deposits, their transport and storage, and eventually the refining of petroleum products for export to international markets.
"We need to tackle the cost of capital," said Margaret Nutschler, Vice President of Project Development at renewable energy developer CWP Global, adding, "When we want to attract investment, we need to find a way to reduce the cost of capital."
« En Afrique, les gens n’aiment pas nécessairement se séparer de leur entreprise, c’est pourquoi ce que nous avons créé s’appelle le capital transactionnel, dans le cadre duquel vous effectuez une transaction avec nous sans rien perdre de votre entreprise », a déclaré Ejike Egbuagu, PDG du financement du commerce. et société de services, Moneda Invest Group.
Meanwhile, on the gas front, oil and gas exploration company ReconAfrica announced in June 2023 an updated prospective resource estimate of 22.4 trillion cubic feet of natural gas in Namibia's PEL 73 licensed onshore area in the Kavango Basin.
"Demand for gas will follow supply," said Dr Klaus Endressen, managing director of engineering company and operator of the Kudu conventional gas field, BW Offshore, adding, "Companies are contacting us to say they would like to set up enrichment initiatives if Namibia has the energy, and we are on track to have first gas to power Kudu in 2027."
In addition to the country's significant oil and gas discoveries, the Ministry of Mines and Energy has also launched a major green hydrogen project to harness the country's resources and diversify the economy. Minister Alweendo is working closely with global players to create a green hydrogen cluster in Namibia that will enable new companies and stakeholders to bring large-scale projects to market.
"There are a multitude of hydrogen projects in Namibia, but the biggest question is whether the supply chain is capable of responding to this opportunity and whether demand is ready to respond to other forms of hydrogen production," urged James Mnyupe, Presidential Economic Adviser and Hydrogen Commissioner to the Namibian Government.
The session ended with a panel discussing Namibia's renewable energy potential, highlighting the country's role in the global energy transition.
"Namibia is very progressive," said Ndapqilapo Selma Shimutwiken, CEO of strategic consultancy RichAfrica Consultancy, adding: "We are one of the few countries in the world where our environment is constitutionally protected.