The African Energy Chamber (AEC) has called on Namibia to accelerate petroleum licensing, reduce regulatory delays and finalise outstanding commercial agreements to attract further investment as the country prepares for its first commercial oil production.
According to the State of African Energy 2027 Outlook, developed by the AEC in collaboration with S&P Global Energy, Namibia could contribute more than 300,000 barrels per day (bpd) to Africa’s oil production by the mid-2030s, supported by major offshore discoveries and investment in petroleum development projects.
However, the chamber warned that prolonged licensing procedures, regulatory uncertainty and delays in concluding commercial agreements could affect project development timelines and discourage further investment.
“Namibia has done the hard part by proving that its offshore basins hold world-class resources and attracting some of the biggest names in global energy. Now it needs to move. Investors cannot afford to wait indefinitely for licenses, approvals and regulatory clarity,” AEC Executive Chairman NJ Ayuk said.
The call comes as Namibia’s upstream petroleum industry moves from exploration towards potential commercial development, with several international energy companies advancing offshore projects.
TotalEnergies’ Venus project, which is targeting production capacity of approximately 150,000 bpd, is working towards a final investment decision (FID), subject to the conclusion of outstanding commercial agreements.
Meanwhile, appraisal activities are progressing at the Mopane discovery, with an FID targeted for 2028.
Rhino Resources is also advancing exploration and appraisal activities at Petroleum Exploration Licence (PEL) 85 following the completion of its Capricornus-1A appraisal well in June 2026, with a potential FID targeted for 2027.
International investment interest in Namibia’s offshore petroleum sector has continued to grow.
In November 2026, QatarEnergy agreed to acquire a 25% participating interest in PEL 82 from Chevron, while bp completed the acquisition of a 60% interest and operatorship in three exploration licences in the Walvis Basin.
The AEC said Namibia’s proposed Petroleum (Exploration and Production) Amendment Bill presented an opportunity to address regulatory uncertainty and improve the administration of petroleum exploration and development activities.
The proposed legislation seeks to transfer responsibility for the upstream petroleum sector from the Ministry of Industries, Mines and Energy to the Office of the Presidency.
It also provides for the establishment of an Upstream Petroleum Unit responsible for petroleum licensing, regulatory compliance and petroleum data management.
The National Assembly approved the bill in principle at its second reading on 20 October 2026, although the proposed reforms have attracted criticism from opposition lawmakers concerned about the concentration of regulatory authority under the Presidency.
President Netumbo Nandi-Ndaitwah has defended the proposed institutional changes, arguing that they would improve administrative efficiency and reduce delays in petroleum licensing and approvals.
The AEC urged Namibia to adopt more proactive acreage licensing strategies to sustain exploration investment and accelerate the development of its offshore petroleum resources.
Its recommendations include introducing digital licensing systems, improving access to geological data and establishing clearly defined exploration commitments for petroleum licence holders.
The chamber said such measures could strengthen Namibia’s competitiveness in attracting international upstream investment as other African petroleum-producing countries compete for exploration and development capital.
According to the outlook, Africa accounted for approximately two-thirds of global deepwater acreage awarded in 2025, reflecting continued international interest in the continent’s offshore exploration opportunities.
The AEC warned that Namibia needed to maintain investment momentum as major offshore discoveries progressed towards development decisions.
“Speed is not the enemy of scrutiny; unnecessary delay is. Namibia has an extraordinary opportunity to become a major African oil producer, but that opportunity will not remain open forever,” Ayuk said.
