A government minister in one of the world’s hottest exploration regions has created consternation among oil and gas players, raising the prospect of the state taking equity stakes in companies producing petroleum.

Namibia’s Mines & Energy Minister, Tom Alweendo, said on Monday that the government is considering the move, Reuters reported.

TotalEnergies and Shell are set to plough billions of dollars into offshore hydrocarbon projects in Namibia the coming years.

They are in the midst of critical exploration and appraisal drilling campaigns in the prolific Orange basin, where Chevron, Galp Energia and potentially Woodside are eyeing up drilling opportunities.