Government calls on oil giants to prioritize local businesses

Government calls on oil giants to prioritize local businesses

The Minister of Industries, Mines, and Energy Modestus Amutse has urged industry players to support local firms by sharing procurement processes, offering mentorship, and providing exposure to industry standards. He highlighted this at the inaugural National Upstream Oil and Gas Local Suppliers’ Workshop in Windhoek on Tuesday, while calling on international oil operators and major service companies to open up their supply chains to local businesses. He said greater transparency and collaboration would enable local companies, particularly micro, small, and medium enterprises, to better position themselves for opportunities in the upstream petroleum sector.

The workshop, organized by Petroleum Training and Education Fund and its partners, aims to strengthen local capacity through training, improved access to finance, and a clearer understanding of tendering requirements and compliance standards. Namibia is seeking to integrate domestic enterprises into the oil and gas value chain early, as offshore oil and gas projects advance through different stages of exploration, appraisal, and development preparation. Amutse emphasized that building local capacity ahead of first oil is critical to ensuring the sector contributes to inclusive growth, job creation, and long-term industrial development.

He also encouraged financial institutions to expand support for local firms, noting that access to capital remains a key barrier to participation in the capital-intensive industry. Namibia has emerged as a major offshore exploration hotspot in recent years following significant oil discoveries in the Orange Basin. As international companies step up appraisal and drilling activities, the government is seeking to ensure that local businesses and workers are better prepared to participate in the sector before first oil later this decade.

(Xinhua)