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The African Energy Chamber Urges African Union and the Africa Climate Summit to Prioritize Labeling Natural Gas and Nuclear as Green Energy/Renewable

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African Energy Chamber

In line with the European Union’s 2022 announcement, the African Union should similarly designate natural gas and nuclear energy as environmentally friendly, thus creating a pathway for greater investment in these essential African resources

JOHANNESBURG, South Africa, September 6, 2023/APO Group/ — 

Representing the voice of the African energy sector, the African Energy Chamber (AEC) (http://www.EnergyChamber.org) has long-been a fierce advocate for the role oil and gas plays in Africa. While climate activists have dubbed these resources as ‘dirty’, oil and gas stand to significantly advance energy security across the continent, increasing access to electricity, fueling industrialization and opening up economic opportunities for millions continent-wide. The AEC calls on the African Union (AU) to align policies with demand, embracing gas and nuclear energy as green solutions, as the European Union (EU) has for its own continent.

Last year, the EU made a decision, supported by the European parliament in July 2022, to label natural gas and nuclear energy as ‘green.’ The move essentially gave foreign investors and project developers the greenlight – excuse the pun – to fund and develop such projects. However, following the advent of the policy, it was clear that the EU’s recognition of gas as green was only directed at Europe, and that African gas resources were to remain ‘dirty.’ At a time when the international community continues to villainize African gas, the AEC calls on the AU to implement its own gas and nuclear-friendly policies.

Investing in gas and nuclear has become one of the only ways Africa will industrialize and make energy poverty history

Currently, over 600 million people are without access to electricity in Africa while 900 million are without access to clean cooking solutions. At the same time, the continent has one of the youngest and fastest-growing populations. As demand for energy grows, Africa’s gas resources stand to fuel the economy. The continent’s proven gas resources are measured at 620 trillion cubic feet, most of which remain undeveloped. Lack of investment in the gas industry has largely restricted monetization, despite the potential of the resource to alleviate energy poverty. Domestic gas utilization is also still in its infancy stage, with the majority of Liquefied Natural Gas (LNG) exported to European markets. While the AU has put in place policies such as the African Continental Free Trade Agreement (AfCFTA), intra-African trade cannot be fully implemented if gas is not identified as a green energy source.

To alleviate energy poverty and bolster industrialization, Africa requires substantial investments to be made in pipeline, power infrastructure, LNG terminals and applications. An AU-led ‘gas is green’ policy will galvanize financing for the continent’s gas projects while kickstarting the development of small- and large-scale LNG and power generation facilities. And the timing could not be more important. Sizeable oil and gas discoveries continue to be made across the continent. Namibia, for example, made five hydrocarbon finds in 2022 and 2023 while major projects have or are poised to come online in Senegal and Mauritania (Greater Tortue Ahmeyim); Mozambique (Coral Sul); Nigeria (Nigeria LNG); and many more countries. While the AfCFTA has essentially removed barriers to trade and market entry, unless supported by an AU-led ‘gas is green’ policy for Africa, the benefits of the continent’s resources as well as its trade structures will not be realized.

This week, the AU’s Inter-Institutional Coordination Meeting for the Implementation and Domestication of the African Commodity Strategy will take place in Addis Ababa. The meeting, held under the theme, ‘Commodity-led Industrialization for One African Market,’ falls under the flagship project of the AU’s Agenda 2063, ‘The African Commodity Strategy,’ which aims to develop Africa’s commodities as a driver of structural, social and economic transformation. Central to these commodities should be gas, the products of which have the potential to drastically change the socioeconomic landscape in Africa. For a continent that produces less than 2% of global greenhouse gas emissions, it is unjust for the AU to sit by and allow this product to not be used while the same resource continues to drive development and improve the standard of living in Europe.

“The AU should not villainize the very resources that offer the continent the chance to industrialize, electrify and grow, but rather, should provide the regulatory tools that enable the trade of gas-based products on a continental basis. Africa has abundant natural gas resources: a sustainable energy solution lying in arms reach of many countries continent-wide. Developing these resources is no longer simply an exciting or challenging investment opportunity, but rather, investing in gas and nuclear has become one of the only ways Africa will industrialize and make energy poverty history,” states Ayuk.

Gas and nuclear energy can undeniably act as a pivotal lifeline for numerous African nations. By mirroring the policies of the EU, the AU could set the stage for a substantial influx of foreign investment, which, in turn, could serve as a catalyst for propelling commodity-driven and gas-centric industrialization efforts across the African continent. Africans deserve to have the same advantage as European have. By implementing a ‘gas is green’ policy for Africa, the AU stands to usher in a new era of investment and development in Africa, while spearheading a just and inclusive energy transition.

Distributed by APO Group on behalf of African Energy Chamber.

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Ministers among hundreds of energy-sector leaders to attend AOW event

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October 4, 2024

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Sinclair

The event kicks off with an invitation-only ministerial symposium focused on the theme of “Fostering innovation, attracting investment, and promoting sustainable growth in the oil, gas, and energy sectors”

CAPE TOWN, South Africa, October 4, 2024/APO Group/ — 

AOW: Investing in African Energy (https://AOWEnergy.com) – Africa’s leading oil, gas and energy event – has confirmed attendance for more than 80 ministers and senior officials, representing African governments, energy departments and regulators at next month’s event.

These influential stakeholders will be among the more than 1 600 senior delegates and industry leaders who will be attending the event to develop policy, share discoveries, secure investment, and shape Africa’s energy future.

The event kicks off with an invitation-only ministerial symposium focused on the theme of “Fostering innovation, attracting investment, and promoting sustainable growth in the oil, gas, and energy sectors.”

Given the recent major oil-and-gas discoveries across Africa, the energy transition and major geopolitical events, it is clear that the energy sector needs positive intervention

Among the officials and government ministers attending will be energy leaders from South Africa, Nigeria, Namibia, Cote d’Ivoire, Mozambique, DRC, Ghana, Kenya, Madagascar, Eswatini, Uganda, CAR, Guinea Conakry, Guinea Bissau, Ethiopia, The Gambia, Gabon, Malawi, Morocco, Zanzibar, Liberia, Senegal, Congo Brazzaville and Sierra Leone.

In addition, the event will feature high-level delegations from numerous national oil companies, as well as multilateral bodies including the African Union, (AU), African Energy Commission (AFREC), African Petroleum Producers’ Organization (APPO) and the Southern African Power Pool (SAPP).

AOW will see these energy leaders networking with C-suite executives and decision-makers from more than 760 top energy companies at daily networking events, to discuss insights, forge new relationships, and negotiate major energy deals.

“We are so excited to see the calibre of delegates at this year’s AOW event,” says Chief Executive Officer of Sankofa Events, Paul Sinclair. “Given the recent major oil-and-gas discoveries across Africa, the energy transition and major geopolitical events, it is clear that the energy sector needs positive intervention. The high-powered attendance proves AOW is a key platform to enable this intervention.”

Key themes to be discussed at this year’s AOW will be sustainable upstream development; expanding gas value chains; renewables and new energies; adoption of best-in-class technologies; and access to finance.

AOW: Investing in African Energy will culminate in a special anniversary party at Groot Constantia Vineyard to celebrate 30 years of the AOW event.

Distributed by APO Group on behalf of AOW: Investing in African Energy.

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Afreximbank approves US$20.8 million for Starlink Global’s cashew factory project in Lagos

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October 4, 2024

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PAPSS

The facility is expected to promote value addition which will guarantee increased earnings to the company while also fostering the creation of about 400 new jobs

CAIRO, Egypt, October 4, 2024/APO Group/ — 

African Export-Import Bank (Afreximbank) (www.Afreximbank.com) has approved a US$20.8 million financing facility for Nigeria-based Starlink Global & Ideal Limited to enable the company construct and operate a 30,000-metric tonne per annum cashew processing factory in Lagos.

We are delighted at this partnership which promises to deliver significant impact on employment in Nigeria

According to the facility agreement signed in on July 22, 2024, Afreximbank will provide the funds in two tranches with the first tranche of US$7.48M going toward capital expenditure for the construction of the factory and the second, totalling US$13.25M to be deployed as working capital for the operations of the factory.

The facility is expected to promote value addition which will guarantee increased earnings to the company while also fostering the creation of about 400 new jobs once the factory becomes operational. It is also expected to support about 40 small and medium-sized enterprises.

Commenting on the transaction, Mrs. Kanayo Awani, Executive Vice President, Intra Africa Trade and Export Development, Afreximbank, said that by supporting Starlink Global to establish a modern processing facility, Afreximbank is making it possible for Africa to add value to its agro-commodities, thereby facilitating exports and subsequent inflow of much-needed foreign exchange into the continent.

“We are delighted at this partnership which promises to deliver significant impact on employment in Nigeria. It will contribute to value creation and to the development of the local community while also improving the lots of smallholder farmers and small business suppliers that will work with Starlink across the value chain,” Mrs. Awani added.

Distributed by APO Group on behalf of Afreximbank.

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Sonangol to Lead Decarbonized Oil & Gas (O&G) Development, Says Angolan National Oil Company (NOC) Head

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October 4, 2024

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Sonangol

Participating in an on-stage interview at Angola Oil & Gas 2024, Sonangol CEO Sebastião Gaspar Martins emphasized that oil and gas remains a core focus for the national oil company

LUANDA, Angola, October 3, 2024/APO Group/ — 

Angola’s national oil company Sonangol reiterated its commitment to driving sustainable hydrocarbon development during the Angola Oil & Gas (AOG) conference this week. Speaking during an “In-Conversation with” session, Sonangol CEO Sebastião Gaspar Martins stated that the company will not abandon oil and gas, but rather advance decarbonized oil and gas development.

We are looking at opportunities in the gas sector and have identified the right partner to develop non-associated gas

By investing in upstream oil and gas production while prioritizing low-carbon projects, Sonangol aims to boost national crude output, while diversifying and decarbonizing the industry. The NOC is focusing efforts on non-associated gas development, as well as alternative energy sources such as solar.

“We are looking at opportunities in the gas sector and have identified the right partner to develop non-associated gas. Gas produced from Angola LNG will be used for the production of fertilizer and we are evaluating the utilization of gas in the south of the country, linking gas with steel industries. We also have a blue carbon project, linked to the reduction of carbon through the plantation of mangroves. We have one area in Luanda and have identified four additional areas for this,” stated Gaspar Martins.

Sonangol has undergone transformation in recent years: following the creation of the National Oil, Gas & Biofuels Agency (ANPG) in 2019, Sonangol transferred its role as national concessionaire and regulator. This transformation has aimed to make Sonangol more competitive and strengthen its capacity as an upstream operator. Concurrently, the government is partially privatizing the NOC, with privatization set to be complete in 2026. This process will enhance financial capacity, allowing Sonangol to drive new upstream projects forward.

“The transformation of Sonangol started several years ago, when we passed the regulatory, concessionaire role to the ANPG. At the time, we transferred almost 600 employees to the ANPG. After that, Sonangol underwent a restructuring program where we created five core business units from 36 different entities – starting with exploration and production. We want to go public, but we want to do it properly. So, we are currently going through all the processes to do this,” stated Gaspar Martins.

Distributed by APO Group on behalf of Energy Capital & Power.

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