The National Petroleum Corporation of Namibia (NAMCOR) has successfully taken over the country’s national oil storage facility in Walvis Bay, Namibia.
Construction on the 75 million L capacity facility began in 2015.The facility has three diesel tanks, one with a capacity of 5 million L and two with a capacity of 20 million L, two 10 million L tanks for unleaded petrol, one 5 million L tank for heavy fuel oil and one 5 million L tank for jet A1. It also has a loading jetty and multiple product pipelines.
The facility was originally designed as a strategic national oil storage facility, to increase Namibia’s security of fuel supply from 7-10 days to 30-45 days, but it was later decided that it should also be a commercial storage facility. The Namibian government invited companies to bid to operate and maintain the facility, and eventually selected NAMCOR after considering several international bidders.
The commissioning of the facility took place with the NAMCOR board’s approval, with the first shipment of 37 million L of diesel, 21 million L of unleaded petrol and 9 million L of low sulphur fuel oil (LSFO) arriving on 1 December 2020.
‘This facility will not only be used for NAMCOR’s own trading purposes, but also to host other international oil marketing companies such as Vitol, Gunvor, Vivo and Total to ensure that it is utilised optimally and that Namibia becomes a strategic gateway through which neighbouring African countries are supplied,’ said NAMCOR managing director Immanuel Mulunga at the handover ceremony on 29 March 2021.
NAMCOR chairperson Jennifer Comalie said that the company has already begin to sell the commissioning stock to retail, commercial, bunkering, export firms and local marketing companies. She added that the handover was ‘milestone’ in NAMCOR’s history and praised the collaboration with the Namibian government.
‘NAMCOR recruited and trained competent Namibian staff that in the process also assisted government with the completion and commissioning of the facility. We are proud that NAMCOR was instrumental in advising government to convert this facility from merely a strategic storage facility to a national oil storage facility that will be operated on commercial principles while still obtaining its objectives of strategic fuel security,’ she said.