Operators and developers are expected to invest $43 billion in oil and gas projects across Africa this year, according to a new report from the African Energy Chamber. The report highlights that both established producers and new players are contributing to the growing investment in the sector.
Looking ahead, long-term projections show that capital expenditure (capex) could reach a decade-high of $54 billion by 2030. This increase will be driven by new final investment decisions (FIDs), as noted in the State of African Energy 2025 Outlook Report.
This year’s projected capex is slightly lower than the $47 billion invested in 2024, which saw a 23% increase in oil and gas project investments compared to the previous year.
West and North Africa are expected to lead the investment surge through 2030. West Africa, in particular, is set to account for more than half of the continent’s capex over the next decade, with major oil producers like Nigeria and Angola taking the lead. Additionally, emerging countries such as Mauritania, Senegal, Ghana, and Côte d’Ivoire are anticipated to significantly boost capex in the latter part of the decade.
North Africa, with key players like Libya, Algeria, and Egypt, is projected to contribute around 35% of the total investment, the report states.
While natural gas is gaining attention, with international companies exploring and developing gas projects and LNG export facilities across the continent, liquid hydrocarbons are expected to continue receiving the largest share of capex. Around 60% of the total investment will go toward liquid hydrocarbons by 2030. However, natural gas is gradually increasing its share, with projections showing its annual expenditure rising from about 30% in 2023 to more than 40% by the end of the decade.
In recent years, international energy majors have been focusing on new gas and LNG projects in West Africa and Namibia, a growing exploration hotspot in the south, where significant oil reserves have been discovered.
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