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Local Content Development in Africa’s Energy Sector: African Energy Week (AEW) 2025 to Outline Challenges, Opportunities and Best Practices

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African Energy Week

A surge in local content policy development marks a turning point for local companies operating in the African energy sector

CAPE TOWN, South Africa, February 18, 2025/APO Group/ –As Africa’s energy sector expands, the need for productive local content policies has become critical for local job creation and value retention. Such policies catalyze growth of nationally owned companies while creating revenue-generating opportunities for local service firms by strengthening their contribution to the industry.

African Energy Week: Invest in African Energies – taking place September 29 to October 3 in Cape Town – will show how well-crafted local content policies have the potential to stimulate local participation, job creation and value retention while standing to improve international partnerships that facilitate the transfer of knowledge, skills and technology. The event unites foreign operators and financiers with local companies, fostering a culture of collaboration across the oil, gas and broader energy industries.

Local Content Set to Maximize Resource Value

As Senegal and Mauritania prepare to solidify their position as a major hydrocarbons hub in West Africa – on the back of first LNG at the Greater Tortue Ahmeyim (GTA) project this month – the MSGBC region is well-positioned to leverage its extractive industries and enhance local content development. Senegal’s Local Content Development Fund and National Local Content Monitoring Committee are set to bolster local capacity for training and support for small- and medium-sized enterprises (SMEs), with the objective of achieving a 50% local content ratio by 2030.

To enhance local content amid the start of production at the GTA project, Mauritanian authorities are currently crafting a new local content law. As a partner on the GTA project, upstream oil company Kosmos Energy launched the Mauritania Innovation Challenge, which is designed to support entrepreneurs under the age of 40. Notable beneficiaries from the program include iMauritanie, which works to enhance public administration communication; Sekam, experts in non-GMO vegetable production; Ayadi Amila, which crafts accessories from recycled materials; and FASEI, which leads local salt processing.

On the back of robust local content policies, mature petroleum producers like Nigeria have seen an increase in local participation within the oil and gas industry. The Nigerian Oil and Gas Industry Content Development Act mandates the prioritization of Nigerian products, services and employment. Central to this effort is the Nigerian Content Development and Monitoring Board, which oversees the Act and fosters partnerships with industry and educational institutions, aiming to achieve a 70% local content target by 2027.

Towards Reducing Foreign Dependence

In a significant step for the industry, Namibia recently approved the National Upstream Local Content Policy. The policy is set to play a significant role in reducing the country’s dependence on foreign expertise by focusing on the development of local capacity. Aimed at strengthening economic sovereignty and empowering Namibians within the country’s hydrocarbons sector, the policy marks a turning point for the country as it sets its sights on achieving first oil production by 2029.

The National Upstream Local Content Policy showcases Namibia’s dedication to empowering local communities while maintaining a welcoming environment for foreign investment. The policy is designed to balance the interests of local stakeholders with the needs of international oil companies, a model that other African nations can look to replicate as they expand their own oil and gas exploration and production strategies.

Meanwhile, last October, Angolan service company Associação de Empresas Autóctones para a Indústria de Angola (ASSEA) launched an initiative to increase local capacity in the country’s oil and gas sector to 20%. The “Action for 20%” initiative serves as a strategy to direct foreign investment to focus on local content by integrating Angolan companies and developing human capital in the country. With an estimated 98% deficit in terms of local companies operating in the country’s oil and gas sector, improved capacity building is expected to result in oil and gas production stability while diminishing an over-reliance on the international community to retain production standards.

Ghana’s energy sector is also benefitting from robust local content initiatives driven by the country’s Petroleum Commission. Local Content and Local Participation Regulations mandate a minimum 10% equity for Ghanian companies in all projects and establish employment targets for nationals. Meanwhile, the Local Content Fund provides crucial financial support to enhance the competitiveness of local firms, while the Enterprise Development Center offers essential training, advisory services and market linkages to Ghanian SMEs in the sector.

Challenges and Opportunities

Local content policies address unique challenges in the African energy sector, including a capital-intensive financing model, a lack of modern technologies and a reliance on high-risk investments over long periods. Traditionally, the hydrocarbons sector in Africa tends to have a low level of local employment and a heavy reliance on imported goods and services. To counteract this, resolute local content policies ensure that African businesses and workers are fully integrated across all levels of the value chain, from exploration and production to service delivery and technology provision.

These policies also provide the opportunity to showcase a stable and transparent regulatory environment in the countries where they are implemented. By ensuring local content requirements are clear and enforceable, such policies are set to attract responsible investment while fostering an atmosphere of trust and cooperation.

Distributed by APO Group on behalf of African Energy Week (AEW)

Business

SLB commissions new fluids systems plant in Pemba to support Mozambique’s offshore energy development

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Mozambique

New facility expands in-country drilling and completion fluids capability, advancing the next phase of SLB’s growth in Mozambique

PEMBA, Mozambique, October 9, 2026/APO Group/ –SLB (NYSE: SLB) (www.SLB.com) announced the opening of a new fluids systems plant in Pemba, Mozambique. The new facility strengthens in-country capacity to prepare, store and deliver drilling and completion fluids for offshore operations, reinforcing the infrastructure needed as Mozambique’s offshore activity grows and its role as a strategic energy hub for East Africa continues to expand.

The commissioning of the plant, also known as a liquid mud plant, coincides with SLB marking 70 years of operations in Mozambique. It reflects the company’s long-term commitment to investing in people, infrastructure and capability that support the country’s long-term offshore energy development plans.

 




  

With an initial storage capacity of 21,000 barrels, the liquid mud plant provides a scalable platform for future growth, supporting multiple customers and rising offshore activity while improving logistics and enhancing operational flexibility.

As SLB marks 70 years in Mozambique, this investment reflects our confidence in the country’s future and our commitment to supporting its energy ambitions

“As SLB marks 70 years in Mozambique, this investment reflects our confidence in the country’s future and our commitment to supporting its energy ambitions,” said Miguel Baptista, Central, East and Southern Africa, Managing Director, SLB. The new liquid mud plant strengthens local energy infrastructure, expands opportunities for local content development, and enhances our ability to support customers as they deliver some of Africa’s most significant offshore energy resources.”

The liquid mud plant project was delivered with strong local participation and that momentum is expected to continue into operations. During project delivery, more than 100 jobs were created in Pemba with nationals representing 80% of the workforce, reflecting a focus on building local capability.

The project was delivered with a strong focus on safety, operational integrity, and quality, achieving more than 67,000 hours worked without a recordable safety incident.

This key infrastructure strengthens SLB’s ability to support consistent service quality and enhance supply chain readiness for increasing offshore activity across Mozambique, supporting customers execute safely and efficiently while developing local skills and expertise.

Key Points:

  • SLB has commissioned a new fluids system plant in Pemba, expanding in-country drilling and completion fluids capability for offshore operations.
  • With an initial storage capacity of 21,000 barrels, the facility provides a scalable platform to support growing offshore activity in Mozambique.
  • The investment marks the next phase of SLB’s growth in Mozambique, strengthening local capability and supporting long-term offshore energy development.

Distributed by APO Group on behalf of SLB.

 

 




 

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South African Energy Storage Association (SAESA) welcomes 4,600 MW battery storage prioritisation and calls for integrated energy planning

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Battery energy storage systems (BESS) are becoming critical system infrastructure, supporting flexibility, reducing avoidable curtailment, shifting energy into periods of demand and strengthening security of supply

JOHANNESBURG, South Africa, October 9, 2026/APO Group/ –The South African Energy Storage Association (SAESA) (www.SAESA.org.za) welcomes the prioritisation of 4,600 MW of battery energy storage under the first Integrated Resource Plan (IRP) 2025 Section 34 determination.

 




  

The timing is significant. Recent Integrated Energy Plan (IEP) modelling and assumptions discussions highlighted a fundamental shift that South Africa’s energy planning now needs to capture: we cannot plan the future power system by counting megawatts of generation alone.

We must plan for when energy is available, where it is available, how it moves through a constrained grid and how it is stored and dispatched when the system needs it most.

The announcement reinforces that shift. Battery energy storage systems (BESS) are becoming critical system infrastructure, supporting flexibility, reducing avoidable curtailment, shifting energy into periods of demand and strengthening security of supply.

For SAESA, the message for the IEP is clear: storage, flexibility and system services must be modelled as integral components of South Africa’s future electricity architecture, with their contribution considered from the outset of generation planning.

“The IEP must plan the power system we are becoming, not simply model the power system we have inherited,” says SAESA.

The IEP must plan the power system we are becoming, not simply model the power system we have inherited

Partnership with C&I Energy + Storage Summit

SAESA is an association partner of the C&I Energy + Storage Summit, created by VUKA Group, taking place on 28–29 October 2026 at The Maslow Hotel, Sandton, Johannesburg.

The summit brings together commercial and industrial energy users, project developers, financiers, regulators and solution providers to explore practical approaches to energy security, procurement and storage deployment.

For businesses assessing how storage can support their operations, the event offers an opportunity to meet SAESA and engage with the wider energy community on the decisions shaping South Africa’s evolving electricity system.

Commercial and industrial energy decision-makers are invited to apply to attend as hosted buyers. Qualifying buyers receive complimentary summit access and curated opportunities to engage with industry partners.

 

Meet SAESA at C&I Energy + Storage Summit: Join the Hosted Buyer Programme

The Hosted Buyer Programme connects commercial and industrial energy decision-makers with solution providers shaping South Africa’s evolving private energy market.

Qualified energy buyers receive complimentary access to the summit and curated engagement with industry partners exploring energy procurement, storage deployment and project development.

Apply for the Hosted Buyer Programme (https://apo-opa.co/4ehLijJ)

Distributed by APO Group on behalf of VUKA Group.

 




 

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Afreximbank welcomes launch of Africa Credit Rating Agency as an important step in strengthening Africa’s financial architecture

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Expanding credible rating coverage can improve the information available to investors and support the development of deeper domestic and regional capital markets

PORT LOUIS, Mauritius, October 8, 2026/APO Group/ –African Export-Import Bank (Afreximbank) (www.Afreximbank.com) welcomes today’s launch of the Africa Credit Rating Agency (AfCRA), an important milestone in strengthening Africa’s financial architecture and expanding the continent’s capacity to generate credible, independent analysis of African credit risk.

 




 
 

Credit ratings play an important role in determining access to capital, influencing investor perceptions and shaping the cost at which governments, institutions and businesses can finance development. It is therefore essential that assessments of African credit risk are independent, rigorous and evidence-based, while reflecting a complete understanding of the structures, institutions and economic realities being assessed.

The establishment of AfCRA adds an important African-led source of credit opinion to the market. Its value will not be measured by whether it produces more favourable ratings, but by the credibility of its analysis, the quality of its data and transparency of its methodology, and its ability to deepen understanding of African sovereigns, sub-sovereigns and corporate credit.

This is particularly important given that many African issuers remain unrated, while local-currency and sub-sovereign markets continue to have limited rating coverage. Expanding credible rating coverage can improve the information available to investors and support the development of deeper domestic and regional capital markets.

AfCRA must set a new benchmark for the continent, maintain its independence, and remain wholly owned and controlled by Africans

Alongside fellow members of the Alliance of African Multilateral Financial Institutions (AAMFI), Afreximbank has consistently maintained that African Multilateral Financial Institutions should be assessed on the basis of their fundamentals, performance, legal frameworks, mandates and operating models. Ensuring that these institutional characteristics are properly understood is essential to achieving informed, balanced and credible assessments of African risk.

Commenting on the uniqueness of the African market, and need for AfCRA’s rating methodology to reflect this, Mr Denys Denya, Senior Executive Vice President, Afreximbank, said: “The rating methodology AfCRA develops must recognise the uniqueness of our environment and its institutional structures. The Agency must set its own standards and not follow those set elsewhere — it must build a unique identity that conforms to an ‘African best practice.”

Highlighting the need for the autonomy of the Africa Credit Rating agency as it takes off, Mr Denya added: “Most importantly, AfCRA must set a new benchmark for the continent, maintain its independence, and remain wholly owned and controlled by Africans. We must all use it, and in return expect a complete assessment of where we (Africa) stand: the strengths the market has ignored, and the weaknesses we still need to fix.”

AfCRA should therefore be seen as complementary to existing international and regional rating agencies, broadening the range of credible analysis available to investors and issuers while strengthening competition, transparency and analytical capacity within Africa’s credit markets.

As Africa seeks to mobilise the scale of capital required for industrialisation, trade, infrastructure and economic transformation, credible African institutions that improve information, strengthen market confidence and deepen the continent’s financial markets will become increasingly important.

Afreximbank congratulates the African Union, the African Peer Review Mechanism (APRM) and all those involved in bringing AfCRA from concept to launch, and looks forward to the contribution the Agency will make to deeper, more transparent and more efficient African capital markets.

Distributed by APO Group on behalf of Afreximbank.

 




 

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