Energy lawyer Shakwa Nyambe (SN) who is also SNC Incorporated managing partner was appointed the Association of International Energy Negotiators (AIEN) vice president for communication.
Nyambe’s appointment was announced in Miami, Florida, on 3 June 2023. The Extractor Magazine (TEM) reached out to Nyambe to discuss the appointment.
TEM: What does this position mean to you?
SN: In recent years, Africa has made significant strides in harnessing its abundant energy resources and establishing itself as a key player in the global energy sector.
With a wealth of renewable and non-renewable energy sources, Africa has been actively expanding its energy infrastructure and attracting international investments.
This position allows me to take Africa to the world regarding the African energy landscape and address African energy issues. Mobilising more Africans to join institutions like the Association of International Energy Negotiators (AIEN) to enable them to not only sit at the table but also to intervene in decisions is one of my objectives.
As the Vice President for Communication, it allows to mobilise more professionals from Africa, the Middle East and North Africa (MENA) and Asia to engage with the institution, which is crucial for the development and progress of the continents.
By encouraging active participation, I can tap into the vast potential, talents, and resources within Africa, MENA and Asia. The position enables me to use my expertise, skills and qualifications for the AIEN. It allows me to contribute significantly to advancing the Global energy landscape. With a deep understanding of the challenges and opportunities within the sector, I am equipped to address the complex energy needs of the continent.
TEM: You have been with the African Chapter of the Association. What milestones have you achieved?
SN: Firstly, as an African being on the Board of Directors in a global Association like the AIEN is not only an achievement in itself, but it also allowed me to bring forth the African energy agenda (energy poverty, inequality) and energy needs of Africa on the global stage.
It offered me the opportunity to influence the model contracts that are being used in the energy sector to accommodate the African perspective in some of the clauses.
During my tenure as Director for the AIEN’s African Chapter, the African Regional Chapter of AIEN experienced substantial growth and became a key platform for dialogue and engagement.
I also managed to increase its membership within the African continent; I believe it is vital to have young African professionals on international bodies to inspire the next generation of lawyers in Namibia and other regions. I also played an active role in initiating and organising AIEN Africa Chapter events, workshops and training relevant to the African energy landscape in various African cities.
TEM: How will you manage your job at the law firm and this new position?
SN: My job as a natural energy resource and commercial lawyer at the law firm involves, amongst other, advising clients on the legal and regulatory aspects throughout the process of developing, acquiring, disposing, financing and operation oil, gas and power assets in the relatively complex energy industry.
In my new role with AIEN, I will also serve as chairperson for the Communication & Marketing Committees and serve as a member of the External Affairs Committee; this will allow me to leverage the Association’s diverse and talented network, which will make my work as an energy, natural resource and commercial lawyer and VP of AIEN manageable.
TEM: Can you explain a bit about the energy negotiators association?
SN: The Association of International Energy Negotiators (AIEN) has been in existence for over forty years; it is an independent, not-for-profit organisation that supports international energy negotiators around the world, enhancing their effectiveness and professionalism in the international community.
It was founded by Scotty Greenwald, Jack Rosshirt, Frank Alexander, Tom O’Dell, Colin Friedlander, Hank Thomsen, Clark Halderson, Mickey Ables, and Frank Mytinger in 1981, in Houston Texas, USA, where it is still headquartered. One of AIEN’s main objectives is to produce model contracts that are widely accepted and used in the international energy industry. These contracts are tools for the negotiators that serve as the starting point for negotiations and significantly decrease the time it takes to finalise a deal. These model contracts assist parties by allowing them to focus their efforts on key commercial and contractual terms rather than on standard provisions.
AIEN also plays a vital role in the training and continuing education of global energy negotiators and provides a unique and valuable forum for professional networking by offering conferences, workshops, webinars and various other educational programs.
AIEN hosts major professional conferences annually, featuring seasoned speakers who offer insight into emerging trends and issues impacting international negotiators and the industry.
TEM: You are an energy lawyer, among other things. What exactly do you do?
SN: As an energy, natural resources and commercial lawyer, I provide legal and business advisory to foreign and local investors in various matters ranging from mergers and acquisitions, commercial transactions, corporate governance and project financing in multiple aspects of the energy value chain. I also specialise in drafting, reviewing and negotiating contracts. I have advised international corporations, state-owned enterprises, governments and individuals in energy, natural resources, commercial and dispute resolution matters. My role is to provide legal expertise and strategic guidance to clients in the energy sector, helping them navigate the legal complexities and achieve their business objectives while ensuring compliance with applicable laws and regulations.
TEM: How different is an energy lawyer from other lawyers?
SN: An energy lawyer differs from other lawyers primarily due to their specialised focus on the energy industry and the unique legal issues in this sector. While energy lawyers possess technical knowledge and skills specific to the energy industry, they also draw upon expertise from other legal areas, such as environmental law, corporate law, property law and dispute resolution, to address the multifaceted legal issues that arise in the energy sector.
TEM: What inspired you to become an energy lawyer, seeing that Namibia has just discovered light oil, although exploration has been ongoing?
SN: My interest in energy, natural resources and commercial law started before the discovery of light oil. Some years back, while working for the Government of Namibia as a State Advocate, I started exploring other niches within the legal sector that align with my passions and interests. This exploration led me to specialise in energy and natural resources at the University of Aberdeen in the United Kingdom (UK). Upon leaving the government, through my research, I noted that there were very few lawyers specialising in energy and natural resources; there was only one Namibian at the time who was based in the United Kingdom. That’s when I realised there was a market for energy and natural resources lawyers in Namibia.
Africa is greatly endowed with natural resources, with about 30% of all global mineral reserves found in Africa. The continent has the largest reserves of cobalt, diamonds, platinum and uranium in the world, with Namibia being the fourth-largest exporter of nonfuel minerals in Africa. It’s not just oil and gas that can drive the economy; it’s all the mineral resources in the country. As Africans, we should be involved in the entire value chain of our mineral resources, whether as consultants, lawyers or as partners in business undertakings. It’s one of the reasons I started a law firm which incorporates both the legal and business advisory aspects to offer full services to commercial clients, especially those in the energy sector and related sectors.
Even though commercial oil has only been discovered now, I have been passionate about renewable energy, power, natural resources, environment and climate change, mining and metals, infrastructure (roads, buildings and communication networks), and legal and regulatory compliance.
I believe that we should strive as much as possible to localise the legal and advisory capacity in the energy and natural resources sector within Namibia and Africa to curtail the outsourcing of these services beyond Namibia and Africa.
TEM: Africa has become an oil and gas exploration destination. How do you think this position can help to ensure the proceeds trickle down to ordinary people?
SN: The (re)emergence of Africa as a hotbed for oil and gas exploration brings great opportunities for the ordinary people of the host country. During the third quarter of 2022, foreign direct investment (FDI) into Namibia rose to N$6.1 billion; this was mainly due to equity capital for exploration activities following offshore oil discoveries. To ensure maximum benefit, it is necessary to establish transparent and accountable government institutions that will manage the wealth and development that come with petroleum resources. We should also operationalise the recently created Sovereign Wealth Fund for Namibia to ensure that all Namibians benefit from the proceeds of our natural resources. With such proceeds, the government of Namibia can fund crucial infrastructure projects, such as schools, hospitals, and transportation networks. This infrastructure development enhances accessibility, education, and healthcare services, ultimately improving ordinary people’s overall quality of life.
TEM: Just for interest’s sake, what is your view on the resource curse and how Namibia can avoid it?
SN: At the heart of exploiting any natural resources is sustainable development. The discovery of petroleum resources presents great economic, technical and social development opportunities. Oil wealth also gives rise to a paradox.
All through history, most countries rich in mineral and petroleum resources generally tend to end up worse off economically and/ or politically than those less endowed. In most cases, a government that prioritises the well-being of its citizens and the long-term interests of its nations can navigate the challenges posed by the resource curse and create a more prosperous future. Mitigating the resource curse should be an inclusive effort between host nations and petroleum companies.
Countries have to determine how to engage with petroleum companies to ensure that, on the one hand, the resources are exploited for the benefit of the country as a whole. On the other hand, the entities doing the exploitation are rewarded for their endeavours.
The best way to mitigate the resource curse is to establish transparent and accountable institutions to manage resources and prevent corruption. The political will is necessary to ensure that transparent and accountable institutions are functional and effective.
Other institutions required to be in place to mitigate the resource curse are a functioning democracy, proper control over corruption, environmental protection and capacity building within the energy sector to ensure resources are sustainably extracted and managed.
