Namibia is positioning itself as a potential player in the oil and gas sector, seeking investments at the COP29 climate summit in Baku, Azerbaijan.
The state-run Namibia Investment Promotion and Development Board (NIPDB) has organized events aimed at promoting the country’s oil and gas opportunities, emphasizing the production of what they term the "most sustainable barrel of crude oil."
The Namibian government has unveiled its 2024-2025 investment opportunity catalogue, which highlights the economic potential of the oil and gas sector alongside renewable energy developments.
Namibia is actively pursuing partnerships to develop its energy resources, notably collaborating with Norwegian company BW Energy to exploit the Kudu Gas fields.
Offshore oil exploration along Namibia's extensive coastline has also attracted significant interest from major oil companies, including TotalEnergies, Shell, Galp, and QatarEnergy.
However, skepticism surrounds the government's optimistic GDP projections. Despite the government's assurances of effective management of the oil and gas sector, concerns persist regarding the potential pitfalls associated with resource extraction.
The environmental implications of Namibia's oil and gas ambitions are already being felt, according to local climate activist Ina-Maria Shikongo.
As Namibia seeks to attract foreign investment in its oil and gas sector, experts caution that the global shift towards renewable energy could render these assets stranded in the future.
The backdrop of Namibia's oil and gas pursuits is a rapidly changing global energy landscape, where countries are increasingly committing to decarbonization and sustainable energy solutions.
The demand for fossil fuels is projected to decline over the next few decades, raising questions about the long-term viability of Namibia's strategy.
As Namibia navigates this complex terrain, the need for convincing economic models that demonstrate the benefits of renewable energy to African leaders becomes paramount.