Blue Oil, Do Opportunities Exist?
There is no doubt that the blue economy is growing in relevance and impact similar to that of the green economy. The blue economy has several life sustaining sectors such as the provision of food, chemicals and of course temperature regulation. Of course, extraction of fossil fuels is even more popular due to its high value and high demand resultant from the concentrated energy contained.
The global waters ( seas and oceans) are a “busy place” as described by the National Oceanic and Atmospheric Administration ( NOAA) which is a USA, scientific and regulatory agency within the United States Department of Commerce. They go on to point out that it is set to get busier as the world’s thirst for fuels and water, as well as economic extraction of minerals continues to grow.
The start of any extractive activity begins with an understanding of the seabed. This is achieved through mapping of the sea floor to better understand “what exists there”. As the existing fossil fuel fields near shore are being depleted, explorers begin moving further and further offshore with its commensurate challenges and of course rewards.
As we pointed out in the RDJ Briefing, March 2022, Namibia has been the recipient of two oil finds in the southwest of the country’s coastal waters. Both these finds are considered to be substantial, especially in light of Namibia’s clear desire to become an oil producing nation. The volatility of oil prices brings around major challenges, then over reliance on its revenue should be avoided. The Institute for Public Policy Research ( IPPR) notes that oil is not a sustainable resource and both exploration and extraction activities effect other ocean industry sectors negatively particularly fishing as studied by Heinrich Böll Foundation & University of Kiel’s Future Ocean Cluster of Excellence.
“Namibia has a brave and powerful vision of how to pivot from extractive industries to green- blue opportunities that are economically viable and accrue benefits to all Namibians and, most importantly, to future generations of Namibians”.
Daniel Hooft, Co- founder Kelp Blue
It is estimated that globally, some 34% of crude oil production could come from offshore sources. In light of many pronouncements from various quarters such as the carbon free Europe expected by 2050, the reliance on oil could see a new kid on the block.
With the advent of green hydrogen which is produced from water by renewables- powered electrolysis, with water being the only by- product irrespective of how the gas is used, offers a more sustainable source of energy which we could dub “blue oil”.
So, as we wait for “blue oil” and renewables, the conversation continues briefing@ rdjpublishing. africa
Readings:
https:// www. energy. gov/ sites/ prod/ files/ 2019/ 03/ f61/ 73355. pdf https:// oceanexplorer. noaa. gov/ world- oceans- day- 2015/ whymap- the- seafloor- to- keep- us- and- natural- resources- safe. html https:// ippr. org. na/ wpcontent/ uploads/ 2019/ 02/ BlueEconomy_ WEB- 1. pdf https:// doi. org/ 10.5957/ SMC- 2021- 077 https:// energyindustryreview. com/ analysis/ why- blue- economy- isso- important/ https:// www. freepik. com/ photos/ oil- drilling https:// www. freepik. com/ vectors/ hydrogen https:// impact. oceanpanel. org/ produce/# namibia