Investor nerves are fraying in Namibia’s fast-moving oil and gas sector as President Netumbo Nandi-Ndaitwah’s recent moves to centralize control have sparked fresh uncertainty. What was meant to be a bold step toward maximizing national benefits is now raising questions about stability, transparency, and the future of major offshore projects.
What Happened
In March 2025, President Nandi-Ndaitwah announced that the management of Namibia’s oil and gas sector would fall directly under the Office of the President. This move was followed by the dismissal of the Minister of Industry, Mines and Energy, Natangwe Ithete, after he approved new oil blocks without presidential consultation. The president has since taken direct oversight of the ministry, sidelining the previous ministerial structure.
Centralized Control
The president now personally manages the sector, appointing two Ministers of State for Petroleum Resources—one for oil and one for gas. Both report directly to her, and the president retains final authority over all major decisions. The restructuring also includes the creation of a new Upstream Petroleum Unit within the presidency, tasked with reviewing and amending the country’s petroleum legal framework.
Why It Matters
While the intention is to ensure that Namibia’s oil and gas wealth benefits its citizens, the abrupt changes have unsettled international investors. Major offshore discoveries in the Orange Basin, including projects led by TotalEnergies, Shell, and Galp, are at a critical stage. Delays in approvals, shifting regulatory frameworks, and unclear lines of authority are making it harder for companies to plan and commit capital.
Investor Concerns
Industry insiders say the lack of a stable, predictable regulatory environment is a growing risk. The president’s direct involvement, while meant to safeguard national interests, has led to bottlenecks and uncertainty. Some projects are reportedly on hold as companies wait for clarity on licensing, local content requirements, and the final shape of the new legal regime.
Key Details
- The president’s move follows a series of high-profile changes, including the resignation of key hydrogen sector officials and the withdrawal of major international investors from green energy projects.
- The new Upstream Petroleum Unit is still finalizing the review of the legal framework, leaving many rules in flux.
- Stakeholders are concerned that the centralization of power could slow down decision-making and deter future investment.
Local Content and Transparency
The government is pushing for a robust local content policy, aiming to boost employment and technology transfer. However, the ongoing consultative process has yet to deliver a finalized policy, adding to the uncertainty.
What Comes Next
The next few months will be crucial for Namibia’s oil and gas ambitions. The finalization of the legal framework and the implementation of the local content policy will determine whether the sector can attract the investment needed to bring offshore discoveries into production. The president’s ability to balance national priorities with investor confidence will shape Namibia’s position in the global energy landscape.
The road ahead is fraught with challenges, but also opportunities. How Namibia navigates this period of transition will define its future as an emerging energy powerhouse.
