Swakop Uranium has made the Erongo Sunam Desalination Project a central component of its 2026 work programme, as the company moves the initiative from agreement toward structured development.
The joint venture with the Namibia Water Corporation (NamWater) is intended to secure long-term water supply for the Husab uranium mine and support broader water needs in the Erongo Region, and next year is expected to be defined by legal, technical and financial preparations ahead of construction.
In December 2025, Swakop Uranium and NamWater signed a joint venture agreement to establish the Erongo Sunam Desalination Project, formalising public-private cooperation on the plant.
Under the agreement, Swakop Uranium will hold a 70 per cent stake, while NamWater will retain the remaining 30 per cent.
The partners said the structure reflects their respective investment contributions and operational roles.
Swakop Uranium will provide significant capital and technical expertise, while NamWater will oversee public-sector oversight, regulatory alignment and integration with the national water network.
The plant is planned with an initial capacity of 20 million cubic metres of water per year.
According to company statements quoted by local media, the facility will include upgrades to bulk water conveyance, including pipelines and pumping systems, to connect the plant to NamWater’s regional supply grid.
It will be integrated with existing infrastructure to serve industrial, commercial and domestic users across the coast.
NamWater and Swakop Uranium said the “next steps” in 2026 will include registering the Erongo Sunam Desalination Project Joint Venture Company, conducting detailed engineering work, undertaking environmental assessments, arranging financing, and planning construction.
The joint statement by NamWater spokesperson Lot Ndamanomhata and Swakop Uranium spokesperson Winnie Mukupuki described the agreement as a significant strategic investment in Namibia’s long-term water security and industrial development.
It noted that the partnership will support current and future water demand, align with national development objectives, and enable support for industrial growth.
Local reporting and the Xinhua News Agency said the plant is valued at N$3 billion (about US$176 million), with Swakop Uranium financing the bulk of the project costs and NamWater providing public-sector governance. Either partner has independently confirmed the cost estimate, but it has been widely repeated in press coverage.
The Husab uranium mine, operated by Swakop Uranium, is one of Namibia’s largest industrial water consumers, and securing a reliable bulk supply has been a longstanding operational priority.
Local publications have described Husab as the most significant water consumer in the Erongo Region and the second-largest single water user in Namibia, after the City of Windhoek, reflecting the scale of water demand that the mine’s operations place on the regional system.
Erongo’s water supply context underscores why desalination has moved beyond occasional feasibility discussion and into implementation planning.
The region’s existing coastal desalination facility, commissioned in 2010 near Wlotzkasbaken, supplies much of the current bulk water needs but has always been close to capacity due to growing demand from mining, industry, and expanding coastal towns.
The joint venture partners will begin 2026 by registering the new company, which will lay the legal foundation for contracting, finance, and regulatory compliance.
Detailed engineering will proceed thereafter, defining plant layout, intake and outfall infrastructure, bulk conveyance pipelines and connection points to NamWater’s system.
These design elements are essential for accurate capital cost estimation and for preparing construction tender documentation.
Environmental impact assessments are also expected to feature prominently in the 2026 work plan.
Desalination projects require regulatory approval for marine intake and brine discharge systems, shoreline disturbance management, and mitigation of potential ecological impacts.
The timing and findings of these assessments will influence permitting and construction sequencing.
The financing strategy for the Erongo Sunam Project will run in tandem with technical work.
The joint venture structure establishes the broad ownership terms. Still, finalising funding — including equity contributions, debt structuring, tariffs and long-term offtake arrangements — will be necessary before contractors are engaged and procurement commences.
Only after engineering design, environmental clearance and financing arrangements are sufficiently advanced will the project shift into active construction planning and early works scheduling.
That phase will involve packaging contracts for marine works, electrical infrastructure, pipelines and plant construction, as well as securing construction management services.
Swakop Uranium’s 2026 programme reflects a deliberate sequencing approach for an infrastructure project of this scale.
By focusing on institutional establishment, technical definition and commercial frameworks in 2026, the company and NamWater aim to reduce risk before committing to significant capital outlays and long-lead procurement.
The new plant is intended to supplement existing supply and reduce pressure on inland water sources, which have been strained by population growth, mining demand and climate variability.
As 2026 unfolds, Swakop Uranium’s progress on Erongo Sunam — defined by joint venture registration, engineering design, environmental clearances and financing alignment — will be a key indicator of when the project is ready to transition into procurement and construction, and how effectively Namibia’s industrial and water sectors can deliver a project that aims to underpin the next decade of growth in the Erongo economy.
