The government has signed the Namibia-Zambia Memorandum of Understanding (MoU) on cooperation in facilitating the private sector development and implementation of the Namibia – Zambia multi-product petroleum and gas pipeline which is expected to supply 100,000 to 120,000 barrels per day of refined petroleum products in Namibia and Zambia.
Minister of Energy, Peter Kapala said the Zambian and Namibian governments have reached a mutual agreement on the contents of the MoU which has the priority focus on enhancing economic cooperation between the two countries in the petroleum sub-sector.
Engineer Kapala added that the signing of the MoU sets the intention of the two Governments to support and facilitate the implementation of the private sector-led Namibia- Zambia Multi–Product Petroleum and Natural Gas Pipelines Project (NAZOP).
“Petroleum and its derivatives drive the engines of growth and development through the crucial role that they play in the production and transportation of goods and services. The NAZOP Pipelines system, when completed, is envisioned to supply 100,000 to 120,000 barrels per day of refined petroleum products in Namibia and Zambia. The NAZOP pipelines systems is also targeting supplying other countries in the SADC Region,” he explained.
Eng. Kapala stated that there is need to take advantage of means that reduce the cost of delivering petroleum products and natural gas to beneficiaries given the volatility of international oil prices.
He also commended Basali Ba Liseli Resources Limited (BBLR), the promoters of the project, for the proactive initiative which will strengthen bilateral cooperation between Namibia and Zambia in the energy sector as well as accelerate regional economic integration as per the Southern African Development Community (SADC)