Africa-Press – Namibia. Standard Bank Namibia’s Corporate and Investment Banking division has structured a N$1 billion foreign exchange (FX) risk management solution for Swakop Uranium.
Swakop Uranium is the operator of the Husab Mine, one of the world’s largest uranium deposits.
As a global supplier of uranium for low-carbon nuclear energy, Swakop Uranium faces significant exposure to fluctuations in the United States (US) dollar/Namibia dollar exchange rate.
While the bulk of its revenue is generated in US dollar, about 80% of operating costs are in Namibia dollar.
This mismatch creates a critical need to manage currency volatility to sustain profitability and long-term operational stability at Husab.
To address this, Standard Bank’s Global Markets team structured a strip of forward contracts for a period of up to 24 months.
The instrument allows Swakop Uranium to lock in favourable forward rates, reduce exposure to exchange rate swings and strengthen the predictability of financial planning.
“This deal showcases the strength of Standard Bank’s Global Markets capabilities, combining local knowledge, regional expertise, and global reach to deliver solutions that make a real difference to our clients and to Namibia’s economy,” says Standard Bank head of global markets Yolande Fourie.
For Swakop Uranium, the arrangement not only mitigates financial risk but also reinforces its ability to deliver wider benefits to Namibia’s mining sector.
The company supports job creation, skills development, local procurement and community upliftment.
It also contributes significantly to government revenue through taxes and royalties while advancing the role of uranium in the global energy transition.
The transaction demonstrates Standard Bank’s ability to draw on its cross-border network.
The execution of the deal was supported by cooperation between Standard Bank Namibia and Standard Bank’s China team, ensuring cultural and linguistic alignment during negotiations.
“This initiative exemplifies Standard Bank’s purpose: ‘Namibia is our home, we drive her growth.’ By enabling Swakop Uranium to manage risk and unlock sustainable growth, Standard Bank continues to support Namibia’s journey toward a resilient and inclusive energy future,” Fourie says.
For More News And Analysis About Namibia Follow Africa-Press
