(Indiana, April 10, 2012 Ceegaag Online) 

First and foremost, I would like to express my condolences of the death of the former president, Abdullahi Yusuf. My deepest sympathies go to his family and the Somali population at large. He was a very important political and cultural figure, even after his presidency, and he was also one of the founding fathers of Puntland. May Allah bless his soul.

If Somalia is mentioned in mainstream western news, chances are it’s not for a good reason. Whether it is terrorism, piracy or natural disasters, the East African nation is rarely if ever discussed in a positive light. However newly discovered black gold might change that scenario.

 As of late, parts of Somalia have been drilling for black gold in the autonomous state of Puntland. After many years of searching for oil they have stricken a reserve in Puntland. This part of Somalia alone is estimated to have 4 billion barrels of oil. The oil is worth an estimated 500 billion dollars and the prices are likely to rise as the demand for oil increases.

Since oil was discovered in just two drilling blocks, it is safe to say that the country is certainly rich with this resource. Many believe that the drilling for oil can be done responsibly and if there is adequate residual income provided to the local people of Puntland, perhaps it can be done without negative consequences. Dharoor valley and the surrounding area such as the rocky mountains (Calmadow and Cal miskaad) are abundant with natural resources. The trees in these mountainous areas produce an expanding trade in frankincense and myrrh (maydi and moxor). Frankincense and Myrrh are rare aromatic gums that are sold all across the world.

The residents of these areas live on farms inherited from their parents and grandparents. The drilling for oil on this land could lead to environmental pollution and other damages that could negatively affect not only the ecosystem but the health of the local people as well. In order for this to be avoided, it would require Puntland’s state of government to present the terms and conditions of the contract they signed with the oil companies to the council of tribal elders and Puntland’s legislative body. The contract should include the rights of private environmental harms to be ordinarily redressed.

The government of Puntland and oil companies should also assess the risks and costs of potential environmental disasters and erosions. Otherwise I fear that this discovery of oil may actually intensify instead of resolving the conflicts in our country. Furthermore, Somalia may be a third world country, but it has many undiscovered reserves of iron, copper, and natural gas. Its economy is surprisingly fruitful. The largest and most profitable sector was agriculture. According to the CIA it accounted for sixty five percent of Somalia’s gross domestic products.

Traditionally, Somalis have been using different methods of agriculture. The most common one is rain fed dry-land farming. This method produces crops such as sesame, sorghum, beans, cotton, corn, rice, and vegetables. This form of agriculture is dependent on weather, and the decline in production is partly due to the drought. There are many factors that act as a barrier when it comes to reconstructing Somalia’s agriculture. An irreversible issue is the loss of productive land, poor weather, and a lack of rain fall, take a toll on the soil as well. Lastly, the prolonged civil war also had a negative impact on Somalia’s agricultural development. All of these problems combined eventually led to the elimination of agricultural infrastructure. Prior to the civil war, Somalia was a prosperous country, hopefully the agricultural resources along with newly discovered oil can drastically boost Somalia’s economy to what it once was.

Mohamud Shalab

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