By Timo Shihepo | 16 July 2025
A signed agreement has revealed how Enercon Namibia took over a N$73-million fuel debt owed by Eco Fuel Investments CC to the National Petroleum Corporation of Namibia (Namcor), in a deal now under scrutiny as part of a wider fuel scandal.
This complex financial relationship between Enercon Namibia initially owned by Peter and Malakia Elindi, Eco Fuel Investments CC owned by Victor Malima, and state-owned Namcor has long been the subject of speculation.
Now, The Namibian has obtained the actual agreement that tied these three companies together in a N$73-million debt cession signed in Windhoek on 2 March 2022.
The Elindi brothers have been arrested alongside other seven suspects in the Namcor fuel scandal while Malima is wanted by the Anti-Corruption Commission.
The N$73-million transaction forms part of ongoing investigations into Namcor’s fuel dealings, which have so far led to the arrest of at least nine people.
Enercon used to get fuel from Namcor on credit to supply fuel to Namibian Defence Force (NDF) military bases.
It is alleged that when Enercon received money from the NDF it hardly paid its debt to Namcor. Enercon, together with Erongo Petroleum, has since been provisionally liquidated for owing Namcor a combined N$380 million.
Peter in court yesterday explained how Eco Fuel joined the Enercon-Namcor marriage.
“Enercon used to be supplied by TotalEnergies, but when demand increased, we roped in Eco Fuel. To the best of my knowledge, Eco Fuel was represented by Victor Malima as managing director,” he said.
Peter added: “In 2022, we paid back N$35 million owed to Namcor, and we then forwarded N$9.5 million to Eco Fuel to buy fuel for Enercon. I have no control over what Eco Fuel does with their money. They were completely independent in deciding how to use it, but we gave it to them for the delivery of fuel. What they did with the money is not up to us.”
An associate of Eco Fuel, who spoke on condition of anonymity, told The Namibian that the debt was moved to Enercon because the company owed Eco Fuel money.
“The agreement signed by both parties is there to prove it,” the source says.
According to the signed cession agreement, Eco Fuel owed Namcor N$73.4 million for fuel purchases. Instead of settling the debt themselves, Eco Fuel arranged for Enercon Namibia to take over the full amount.
In effect, Enercon told Namcor: “We will pay what Eco Fuel owes.”
The cession meant that Enercon became fully responsible for the debt, including all original terms and conditions of the fuel supply agreement between Namcor and Eco Fuel. The agreement also stated that if Enercon failed to pay, a 2% interest charge would apply, and Namcor reserved the right to take legal action.
Namcor, listed as the creditor, was represented by its then managing director, Imms Mulunga. Eco Fuel, the original debtor or ‘cedent’, was represented by Malima. Enercon, now the debtor or ‘cessionary’, was represented by Peter as chairman.
The agreement also made clear that Eco Fuel would no longer be responsible if Enercon failed to repay the debt.
Board resolutions signed by Peter and Malakia confirmed that Enercon’s board formally approved the arrangement and authorised the signing of the cession.
The debt of N$73 395 876.99 was split across five Eco Fuel accounts: N$32 million from Eco Fuel Retail, N$24.1 million from Eco Fuel exports, N$13.2 million from Eco Fuel Investment, N$1.5 million from an Eco Fuel cash account, and N$2.3 million in export levies.
Following the signing of the agreement, Enercon held a board meeting on the same day where Peter and Malakia were authorised to negotiate further terms with Namcor, including a potential exclusive fuel supply deal.
On 11 March 2022, Namcor issued credit notes and tax invoices officially transferring the debt to Enercon. The documents were signed by Jennifer Hamukwaya, Namcor’s then-executive for commercial services.
