MOGADISHU – Somalia has entered a new phase in its energy sector following the arrival of the oil drilling ship Çağrı Bey at the Curad-1 site.

The Transparency Somalia Initiative said the development marks progress toward oil production that could support economic growth, but warned of risks if resources are poorly managed.

The group urged the government to ensure transparency by disclosing oil agreements, clarifying company ownership, and establishing clear systems for managing revenues to protect national interests.

This development signals a potentially transformative moment for Somalia’s economy, as moving from exploration toward production raises the prospect of new revenue streams and reduced dependence on foreign aid. If managed well, oil could strengthen state capacity, fund infrastructure, and support long-term development.

However, the warning from the Transparency Somalia Initiative highlights a well-known risk often referred to as the “resource curse,” where countries rich in natural resources experience corruption, inequality, and conflict instead of broad-based growth. Somalia’s fragile institutions and ongoing political divisions increase this risk, making transparency and accountability especially critical.

The call for full disclosure of contracts and revenue systems reflects concerns about governance and trust. In a federal system like Somalia’s, disputes over resource control between the central government and federal member states could also intensify, particularly if revenue-sharing mechanisms are unclear or perceived as unfair.

Overall, while the arrival of the drilling ship represents economic opportunity, its long-term impact will depend on governance. Strong oversight, inclusive revenue management, and institutional cooperation will be essential to ensure that oil becomes a national asset rather than a source of political tension and inequality.