OSHANA beat Khomas 1-0 to join Erongo at the top of Group B.
In a match of few chances, Jackson Johannes scored the only goal of the match from the penalty spot on the stroke of halftime.
Khomas had the better of the early exchanges with Inrico Swartz and Nghidipohamba Hamukoshi both having shots saved by Oshana keeper Sebastian Victorinus.
Victorinus brought off a stunning save on 28 minutes when he tipped a header by Brian Hangara over the bar.
Oshana weathered the storm and won a penalty when winger Marin Valombola was fouled in Khomas' box. Jackson Johannes stepped up to put the ball into the left hand corner of the net to give Oshana a 1-0 lead at halftime.
A scorching shot by Oshana midfielder Mathew Angwena went just over the bar early in the second half, while at the other end, a free kick by Brian Hangara was well saved.
Petrus Sakaria nearly increased Oshana's lead on 51 minutes but his shot was cleared off the line, while Oshana midfielder Herman Kalimbo hit the back of the net a minute later but he was ruled off side.
At the other end, Khomas striker Dino da Silva had a chance to equalise when he broke clear of the defence, but his shot was saved by Victorinus.
Oshana's goal scorer Jackson Johannes was voted man of the match.