
ENERGY
Namibia’s Orange Basin emerged as a global exploration hotspot after 2022, when Shell’s Graff-1X and TotalEnergies’ Venus-1X offshore wells struck significant oil. These giant deepwater finds, along with Galp’s 2024 Mopane-1X discovery, have uncovered over 11 billion barrels of oil in place. Shell recently wrote down their investments in the orange basin based on a lower than expected estimated recoverable oil or gas from the field due to factors like projected commodity prices movement and geological issues among other things. Appraisal programs are underway at Venus and Mopane, with initial production from the first two targeted by 2029. There is currently no production, but operators are advancing development plans, aiming for Final Investment Decisions (FIDs) on Venus by 2025-26.
Major players include TotalEnergies, Shell, and Galp Energia, each operating the above discoveries in partnership with Namibia’s state oil company NAMCOR (typically 10% carried interest) and international partners. QatarEnergy holds stakes alongside Shell and TotalEnergies, reflecting rising Middle East interest. New entrants have flocked to Namibia following the discoveries. For example, Chevron farmed into an offshore block (PEL 82) at 80% in 2025, and ExxonMobil and Woodside have acquired exploration acreage. These partnerships, often involving NAMCOR and local firms, ensure Namibian participation in upstream ventures.
Namibia’s Petroleum Act provides a stable framework, and the government has strengthened policies to maximize benefits. A National Upstream Petroleum Local Content Policy was approved in 2024 to integrate local businesses and workforce into the oil value chain. It requires operators to favor Namibian services and talent, aligning with the country’s goal of first oil by 2029. The state (via NAMCOR) takes minority stakes in licenses, and a sovereign wealth fund (Welwitschia Fund) was launched in 2022 to channel future oil revenues into development priorities. Officials maintain a pro-investment stance, balancing investor needs with local empowerment.
The upstream boom promises to transform Namibia’s economy. The huge reserves discovered could generate significant revenues and diversify an economy long focused on mining. International investment has surged, with supermajors and independents spending heavily on multi-well drilling campaigns, making Namibia account for about 13% of all African offshore rigs in operation. Service companies are also investing: Bake Hughes and Halliburton opened new bases in Swakopmund and Walvis Bay in 2024 to support drilling, hiring and training hundreds of locals. Infrastructure spending is rising, with a planned NAD 40 billion (USD 2.1 billion) expansion of Walvis Bay and Lüderitz ports to support oilfield logistics. While some early wells have proven non-commercial, (e.g. Chevron’s first Orange Basin well, overall confidence remains high. The government projects that oil production by 2029 will boost GDP, create jobs and attract further foreign direct investment.
Namibia’s frontier developments rely on cutting-edge deepwater technology. Exploration wells have been drilled in ultra-deep waters (2,000–3,000 m) using advanced drillships and semisubmersible rigs. Shell’s campaign, for instance, deployed the Deepsea Bollsta rig and achieved multiple oil finds at record depths. In anticipation of production, midstream infrastructure plans are underway. The national ports authority is adding berths and quays at Walvis Bay and building a new port at Lüderitz to handle rig tenders and project cargo. Future development concepts are expected to include floating production systems offshore, given the deepwater setting, with onshore support infrastructure being scaled up concurrently. These technological and infrastructure investments are laying the groundwork for Namibia’s transition into an oil-producing nation.
Between 2021 to 2023, about 45% (N$ 33 Billion) of FDI has been invested in the oil and gas sector (BON, 2023). This number is growing and is expected to grow even further as new wells are being discovered. The Government of the Republic of Namibia has pledged to provide all the necessary support to expedite the field development to achieve production by 2026.
Renewable Energy
All activities involved in the production and productive utilisation of renewable energy sources, especially solar and wind energy, for local and regional markets.
Namibia’s renewable energy sector presents a significant opportunity for sustainable economic growth, leveraging its world-class solar and wind resources. With solar photovoltaic (PV) systems capable of generating twice the electricity of similar systems in central Europe and wind speeds exceeding 7 meters per second in coastal regions, the country is well-positioned to transition to clean energy. Namibia currently imports 60-70% of its electricity, leading to high costs, but government policies aim to achieve 80% domestic electricity generation by 2028. Expanding renewable capacity, particularly solar and wind, is a strategic priority to enhance energy security, lower electricity costs, and support industrialization
The integration of renewable energy into key economic sectors, such as mining, is critical for reducing operational costs and improving global competitiveness. Mining accounts for 14% of Namibia’s GDP and consumes 21% of its electricity. The deployment of renewables can significantly lower energy costs, particularly with solar and wind auction prices nearly 80% and 65% lower, respectively, than current electricity rates. Additionally, large-scale renewable projects, including renewable hydrogen production, have the potential to drive economic diversification and attract investment.
Despite its potential, Namibia's renewable energy expansion faces challenges, including the need for significant investment to support grid resilience and strict public procurement regulations which prohibit public state-owned entities from directly engaging in unsolicited power purchase agreement negotiations. Fortunately, the National Integrated Resource Plan (NIRP) prioritizes least-cost renewable energy investments, integrating battery storage to enhance grid stability. Off-grid renewable solutions are also essential for achieving universal electricity access by 2040, particularly in rural areas. Strategic partnerships and financial mechanisms are necessary to lower the cost of capital and enable large-scale projects. If well-managed, Namibia’s renewable energy transition can serve as a model for sustainable development, creating jobs, improving energy access, and positioning the country as a leader in green energy exports.


Green Hydrogen
Namibia presents a unique and compelling investment opportunity in the rapidly growing green hydrogen sector. With some of the world’s best solar and wind resources, the country is positioned to become a global hub for green hydrogen production and export. Namibia’s Green Hydrogen and Derivatives Strategy, integrated into the Harambee Prosperity Plan II, provides a clear policy framework to support large-scale hydrogen projects, including Hyphen Hydrogen Energy. The government is committed to facilitating investment through streamlined regulations, attractive incentives, and strong partnerships with the private sector, ensuring Namibia becomes a key supplier of green hydrogen to international markets.
Investors in Namibia’s green hydrogen value chain will benefit from access to cost-competitive renewable energy, a stable regulatory environment, and well-established trade links to Europe, Asia, and beyond. The sector offers diverse opportunities, including hydrogen production, green iron and steel manufacturing, synthetic fuels, and ammonia production. In addition, Namibia is developing vital infrastructure, such as hydrogen pipelines and port facilities, to support large-scale exports. The Namibia Green Hydrogen Programme (NGH2P) is actively fostering local capacity, financing mechanisms, and certification standards, creating a robust and investment-ready ecosystem for green hydrogen development.
With a strong commitment to sustainability, Namibia offers a secure, stable, and business-friendly environment for investors seeking to capitalize on the global transition to clean energy. The government is implementing measures to de-risk investments, including special economic zones, public-private partnerships, and financial incentives that enhance competitiveness. By investing in Namibia’s green hydrogen sector, businesses can secure first-mover advantages in a high-growth industry while contributing to global decarbonization efforts. Now is the time to be part of Namibia’s green hydrogen revolution and unlock unparalleled opportunities in one of the most promising emerging markets for renewable energy.