Faith Nyasuguta
Namibia’s ambitious plan to become an oil-producing nation by 2030 has hit a stumbling block, after the Namibian Ports Authority (Namport) postponed a critical upgrade of Luderitz harbor. The expansion of the southern port is considered vital to supporting the country’s fast-emerging oil and gas industry, but uncertainties around the project have forced a pause.
Namport had invited proposals for a concession to build an oil and gas supply facility in Luderitz. However, the advertisement triggered concerns among stakeholders, leading to the suspension of the process. “This setback will have an impact on set timelines for the project, but there is nothing we can do,” Namport Chief Executive Officer Andrew Kanime admitted.
The delay highlights the fine balance Namibia must strike as it prepares to join Africa’s oil-producing ranks. The country is estimated to hold a staggering 2.6 billion barrels of reserves spread across exploration hotspots in the Orange, Luderitz, Kavango, and Walvis basins. These discoveries, led by energy giants TotalEnergies and Shell in 2022, have placed Namibia firmly on the global energy map.
Yet, despite the excitement, Namibia has not produced a single barrel of oil to date. Analysts forecast that commercial production could begin by 2030, but only if key infrastructure, particularly ports, is ready to handle the demands of a new petroleum economy. Luderitz is strategically crucial because it lies less than half the distance to offshore discoveries compared to Walvis Bay, the country’s main port. Bloomberg reports that this geographical advantage makes Luderitz the preferred gateway for servicing oil and gas projects.
Meanwhile, the international oil majors continue to ramp up exploration. TotalEnergies recently announced plans to drill up to seven wells off South Africa’s Deep Western Orange Basin, which extends into Namibian waters. The basin has already yielded promising finds, strengthening hopes of a regional oil boom.
Still, Namibia’s path forward is complicated. The Luderitz port expansion is not just an engineering challenge but also a sensitive heritage and environmental issue. The area holds a historic German colonial-era concentration camp site, meaning the project requires environmental clearances and heritage impact assessments before construction can proceed.
Despite the current pause, Kanime insists the project is not abandoned. “The project will continue, I just can’t confirm when the bid will be advertised again,” he said, leaving timelines uncertain.
For now, Namibia’s oil dream remains on the horizon – temptingly close, yet tethered to bureaucratic delays, environmental reviews, and infrastructure bottlenecks. If these hurdles are cleared in time, the country could join Africa’s oil producers within the next decade. Until then, Namibia’s energy ambitions remain on standby at Luderitz harbor.
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