Namibia plans to complete its sovereign wealth fund by 2025

Namibia's Finance Minister said on Tuesday that the government expects to approve its first offshore oil project in 2025 and complete the creation of its sovereign fund.

Namibia, which is yet to produce oil or gas, became a hotspot for exploration after TotalEnergies, Shell and offshore discoveries.

Speaking on the sidelines a Norwegian energy conference, Finance Minister Iipumbu Schiimi stated: "We are developing a comprehensive legislation that will set the rules for withdrawal as well as investment."

He added, "As soon as the law has been passed, the fund will be fully established."

Shiimi, Namibia's Minister of Finance, said that Namibia does not expect to see income from the fund until oil production begins, which may take four to six years.

He added that TotalEnergies, Qatar Energy and other companies would likely be the first to approve oil exploration off Namibia by 2025.

"We will have a lot of resources when we start, and a large part of them will go into the fund".

The companies haven't approved any production plans, so there are no estimates as to how fast the fund will grow. Reporting by Nerijus Adomiaitis, Editing by Gareth Jones & Mark Potter

(source: Reuters)