Botswana has strengthened its energy security with a newly signed Government-to-Government (G2G) contract with the National Oil Company of Abu Dhabi (AdNoc).
This was revealed when giving the Committee of Supply Statement for the Ministry of Minerals and Energy. The Minister, Bogolo Kenewendo, said the supply is 10 million liters per month of fuel, which commenced on 1st February 2025.
She emphasized, “This will not only improve the reliability of fuel supply to Botswana in the short term, but will also help us get better prices for the country in the long term.”
Kenewendo said Botswana requires diversifying its product supplies away from South Africa in the medium to long term.
“Botswana is currently getting 40% of its petroleum products through the Republic of Namibia and Mozambique, while the remaining 60% continues to be sourced through South Africa.” She shared.
Additionally, she noted that this poses a major risk should anything happen with the Sasol refinery since Botswana cannot import readily finished products through South Africa due to the current status and position of the South African Customs Union (SACU) trade agreements.
Kenewendo further reiterated that in an attempt to address the challenge and as part of the 90% Import Mandate strategy objectives of enhancing the security of the supply of petroleum products, the ministry, through Botswana Oil Limited, has been engaging oil-producing countries to import directly from their refineries, thus the AdNoc deal.
