When we think of oil and gas in Africa, we think continuous growth, increasing value and high prosperity. Africa is on an upward growth curve and the world is totally acknowledging it hence investors taking note of the unique investment opportunities across the continent. 19 African countries are major producers of oil and/or gas, and the revenues from higher prices and the investment that new discoveries are attracting have made a key contribution to growth. While the majority of reserves and production remain concentrated in six countries — Nigeria, Libya, Algeria, Angola (oil), Sudan (oil) and Egypt (gas) — there have been significant new discoveries in Ghana, Tanzania, Mozambique and Uganda, with prospected fields in other countries, including Sierra Leone, Mali and Kenya.
10 largest African producers of oil and natural gas
The end of 2010 saw African oil and natural gas reserves at a projection of 200 to 210 billion barrels of oil equivalent (boe). African oil production growth will maintain strong and on the rise over the next 25 years, with forecasted ranges of growth between 0.5 million and 2.0 million b/d. African natural gas production has equally grown over the last 10 years, and forecasts of supply growth are dramatically strong.
North Africa’s oil & gas industry has largely remained open to the international oil companies (IOC’s), predominantly the European “majors,” as well as large/small specific independents.
Over the last 10 years West African production has taken off, largely due to advances in offshore technology.
Recent discoveries of major gas and oil deposits in southern Africa could improve the prospects for southern African countries—reducing imports, driving economic growth, and lowering CO2 levels in power generation.
Exploration activity in East Africa sees the size and scope of the region’s reserves become more apparent and in turn the interest of industry heavyweights has increased. Governments are anxious to attract the attention of international oil companies in addition to the steady flow of interest from juniors. The sector’s growth doesn’t merely offer opportunities for upstream investors, but also for the increased focus on the vital support infrastructure such as pipelines, refineries, port facilities and transport links.