The National Petroleum Corporation of Namibia (NAMCOR) has so far generated about N$3.3 billion from its Walvis Bay National Oil Storage Facility (NOSF), acting Minister of Public Enterprises Iipumbu Shiimi has said.
The oil storage facility, whose construction started in January 2015 and was handed over to NAMCOR in March 2021, has capacity to store 75 million litres of petroleum products.
There was a huge outcry in the country when the Mines and Energy Ministry handed over the facility last year after the total projected cost shot up from N$3.7 billion to N$6.5 billion.
“NOSF is currently operating at 60% of its capacity. NAMCOR imports its product and distributes it inland to its customers and exports the rest to its customers in Botswana and Zambia. NAMCOR has also recently started handling products that are imported by other international marketing companies such as Puma, Engen and TotalEnergies through the NOSF Jetty to their respective terminals,” said Shiimi while responding to questions from PDM Parliamentarian Nico Smit.
The official opposition party’s Member of Parliament wanted to know whether NAMCOR has started operating the facility, and whether it is generating enough income, and if NOSF is operating on full capacity.
He also wanted to know if the facility is being leased to a third party.
“No, the facility is not leased to a third party, but solely managed and operated by NAMCOR. NAMCOR, however, hosts two international marketing companies, as agreed upon and approved by the Government. The two companies which are being hosted are Gunvor and Validus Energy,” said Shiimi.
NAMCOR is a legally enacted entity under the Namibian Companies Act 28 of 2004 with the Government of the Republic of Namibia as its primary stakeholder.
Besides operating the NOSF, NAMCOR which entered the fuel retail sector in August 2019 with the opening of its first branded site at the Hosea Kutako International Airport, continuing with an aggressive expansion plan targeting 33 operational sites by the end of 2024, is also a 10% shareholder in the country’s two recent oil discoveries.
