Botswana diversifies fuel supply through Oman and Dangote deals

Botswana is actively diversifying its petroleum procurement to enhance energy security and mitigate risks from international disruptions. The state-owned Botswana Oil Limited (BOL) has initiated a direct-supply arrangement with Oman’s OQ Trading. This partnership recently saw its first shipment of approximately 20 million litres of diesel arrive via Mozambique’s Port of Matola.

In addition to the Oman deal, Botswana’s Minister of Minerals and Energy, Bogolo Kenewendo, confirmed that the nation is engaging with the Dangote Refinery and suppliers in Angola and Cote d’Ivoire. These efforts aim to shield the landlocked country from fuel shocks and price volatility caused by global conflicts, such as the war in Iran.

Energy analysts suggest that bypassing regional intermediaries through direct bilateral frameworks could offer structural advantages and reduce profit-skimming by middle-men. However, industry observers note that the economic viability of these new routes will depend on whether they can provide more competitive pricing once procurement and transportation costs are factored in. To support these alternative corridors, the government is also focusing on the need for improved coastal storage infrastructure in regions like Mozambique and Namibia.