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Time to Tap Central Africa’s Hydrocarbon Wealth with More Oil and Gas Production says African Energy Chamber (AEC)

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African Energy Chamber

Taking place this week in Gabon, the Central Africa Business Energy Forum seeks to promote an enabling environment for doing business in the region

JOHANNESBURG, South Africa, October 24, 2024/APO Group/ — 

Serving as the voice of the African energy sector, the African Energy Chamber (AEC) (https://EnergyChamber.org) strongly supports the 2024 edition of the Central Africa Business Energy Forum (CABEF) – taking place this week in Gabon. The event asserts the critical role an enabling environment and market-focused policy plays in driving projects forward across the region. AEC Executive Chairman NJ Ayuk is speaking at the event, where he will outline the vital need to address foreign exchange regulations while creating an enabling environment for companies to do business.

Despite the significant potential the Central African region offers for hydrocarbon development, subsidies, taxes and unattractive fiscal terms have deterred foreign investment. Notwithstanding domestic policies, foreign exchange regulations instituted under the Bank of Central African States (BEAC) continue to cost the region. Specifically, new rules regarding transactions over US$1,700 have not only impacted the lead time for money transfers but raised overall transaction costs. This continues to serve as a major hinderance for energy projects across the region at a time when foreign capital is most-needed.

Africa loses up to $46 billion in investment and stands to lose billions more if operators are not met with enabling environments. With up to 600 million living without access to electricity and 900 million people living without access to clean cooking solutions, the continent requires much more investment to boost energy security and meet socioeconomic goals. To increase investment, African nations need to tear down the rules that make it difficult for people to invest.

The Central African region – home to some of the most promising oil and gas markets in Africa – is well-positioned to supply the continent with energy. Major producers such as Gabon, Equatorial Guinea, the Republic of Congo and Cameroon have long-been major exporters, yet production declines present newfound challenges. To counteract natural declines in hydrocarbon output, the region requires significant levels of investment in exploration. Unattractive fiscal policies and disruptive foreign exchange regulations impact spending across the upstream market, highlighting the need to address fiscal barriers.  

The event also connects foreign investors to projects, serving as a catalyst for project development

Take Equatorial Guinea, for example, whose Gas Mega Hub (GMH) offers the region a unique opportunity to monetize stranded resources. Through its Punta Europa LNG facility, the country processes gas from the Alba field. The agreement for the next phase of the GMH has been signed, enabling the Aseng field to be tied-in to existing infrastructure. Additionally, Equatorial Guinea has signed agreements with Nigeria and Cameroon to import gas. However, much more needs to be done in order to maximize the full potential of both the GMH and regional blocks. The same can be said for Cameroon as well as other regional nations such as Gabon and Chad, all of which have also faced production declines in recent years. Lack of investment in exploration can be attributed to counterproductive CEMAC policies, governance issues and tax challenges, with operators facing roadblocks and red tape.

Despite disruptive policies, efforts are being made to increase energy access and intra-African trade. Projects such as the Central African Pipeline System (CAPS) aim to connect Central Africa with other regions in Africa, featuring a network of 6,500-km pipelines connecting the oil and gas resources of 11 Central African countries. The initiative links storage depots, LNG processing facility, power plants and pumping stations, modeling energy system in Europe to spur industrialization and electrification in Africa. The AEC wholly support the CAPS project, viewing it as an instrumental development in Africa’s energy future. 

Amidst the global energy transition, Central Africa needs to rally behind its oil and gas operators. Africa cannot afford to leave its hydrocarbon resources in the ground, and as such, will need oil and gas to not only be part of but drive a just energy transition. It is important to ensure that resources are used correctly and that the continent does not transition in a way that hurts Africa. CEMAC countries need to produce every drop of oil and gas they can find to grow the region. There is no reason to apologize and to not use your oil and gas resources. Plan A is oil, Plan B is oil and Plan C is oil. We have no other plan.

Stepping into this picture, the 2024 edition of CAEBF advocates for energy sufficiency in the region. Serving as a platform where regional nations convene, the event addresses the most pressing challenges faced by energy operators in Central Africa. CABEF connects energy industry actors with the aim of accelerating the pace and success of energy projects, with a strategic focus on oil and gas developments.

“CABEF has emerged as an important platform for many reasons: by connecting regional governments and energy operators, it enables direct discussions regarding the challenges and opportunities of the region. The event also connects foreign investors to projects, serving as a catalyst for project development. The AEC is proud to once again endorse this important event and will continue to advocate for an enabling environment in Africa,” states NJ Ayuk, Executive Chairman of the AEC.

Distributed by APO Group on behalf of African Energy Chamber.

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Genesis Energy Chief Executive Officer (CEO) to Discuss Energy Expansion at Congo Energy & Investment Forum

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January 20, 2025

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Genesis Energy

Akinwole Omoboriowo II will discuss Genesis Energy’s plan to deliver 10.5 GW of power across Africa, highlighting how Nigeria’s power sector experience can inform the development of the Republic of Congo’s domestic energy grid and gas export potential

BRAZZAVILLE, Republic of the Congo, January 20, 2025/APO Group/ — 

Akinwole Omoboriowo II, CEO of Genesis Energy, will speak at the Congo Energy & Investment Forum (CEIF) in Brazzaville this March, where he will discuss the company’s plans to deliver 10.5 GW of power across Africa, with a focus on energy initiatives that align with the Republic of Congo’s energy development goals.

Genesis Energy is driving transformational power projects, including providing 334MW to the Port Harcourt Refinery in Nigeria and plans to produce 1 GW within the WAEMU region. In October 2024, Genesis and BPA Komani announced their strategic partnership to mobilize capital and facilitate critical infrastructure projects focused on renewable energy, particularly Battery Energy Storage Systems across Africa. Additionally, Genesis’ recent MOU with the U.S. Agency for International Development will mobilize $10 billion for green energy and renewable projects, supporting Africa’s transition to a sustainable energy future.

The inaugural Congo Economic and Investment Forum, set for March 25-26, 2025 in Brazzaville, will bring together international investors and local stakeholders to explore national and regional energy and infrastructure opportunities. The event will explore the latest gas-to-power projects and provide updates on ongoing expansions across the country.

During CEIF 2025, Omoboriowo will explore how Genesis’ successful energy infrastructure development projects in Africa, combined with private sector innovation, can guide the Republic of Congo in strengthening its energy security and achieving its decarbonization goals. By leveraging its expertise in clean energy and strategic partnerships, Genesis Energy is poised to play a key role in helping the Republic of Congo harness its energy potential and expand its regional energy influence.

The Republic of Congo’s renewable energy sector is in a phase of growth, with increasing interest in solar, hydro and wind energy projects. Battery energy storage capacities are also gaining traction as a vital component of the country’s energy infrastructure, helping to balance supply and demand. The government is focusing on diversifying its energy mix to reduce dependency on fossil fuels and enhance grid reliability. Looking ahead, the Congo aims to expand its renewable energy capacity and integrate storage solutions to meet growing domestic and regional energy needs while supporting environmental sustainability.

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

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Eni, TotalEnergies Announce New Exploration Projects in Libya

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January 20, 2025

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National Oil Corporation

Eni is launching three exploration plays, TotalEnergies is expecting promising results from its recent onshore exploration project, and other developments were shared during an upstream IOC-led panel at the Libya Energy & Economic Summit

TRIPOLI, Libya, January 19, 2025/APO Group/ — 

Libya’s National Oil Corporation (NOC) and international energy companies TotalEnergies, Eni, OMV, Repsol and Nabors outlined key exploration milestones and strategies to advance oil and gas production in Libya at the Libya Energy & Economic Summit 2025 on January 18.

Among the key developments highlighted were TotalEnergies’ recent onshore exploration project and promising exploration opportunities in the Sirte and Murzuq basins.

“With 40% of Africa’s reserves, Libya remains largely untapped,” said Julien Pouget, Senior Vice President for the Middle East and North Africa at TotalEnergies. Pouget shared TotalEnergies’ plans for 2025, including the completion of an onshore exploration project and new exploration in the Waha and Sharara fields. “We expect results next week,” he added.

Luca Vignati, Upstream Director at Eni, echoed optimism for Libya’s potential and outlined the company’s ongoing investment initiatives in the country. “We are launching three exploration plays – shallow, deepwater and ultra-deep offshore. No other country offers such opportunities,” Vignati stated. He also highlighted the company’s investments in gas projects, including over $10 billion for the Greenstream gas pipeline and a CO2 capture and storage plant in Mellitah.

Repsol affirmed its commitment to advancing exploration in Libya, focusing on overcoming industry challenges and achieving significant production milestones.

We have 48 billion barrels of discovered but unexploited oil, with total potential estimated at 90 billion barrels, especially offshore

“Over the past decade, Libya has made remarkable efforts to fight natural field decline and encourage exploration,” said Francisco Gea, Executive Managing Director, Exploration & Production at Repsol. “We have reached 340,000 barrels per day. The two million target is within reach, and as international companies, we have the responsibility to bring capacity and technology.”

“Innovation is key to maximizing production and accelerating exploration. By deploying cutting-edge solutions, Nabors can enhance efficiency, reduce costs and ensure safer operations,” added Travis Purvis, Senior Vice President of Global Drilling Operations at Nabors.

Bashir Garea, Technical Advisor to the Chairman of the NOC, highlighted the country’s immense oil and gas potential. “We have 48 billion barrels of discovered but unexploited oil, with total potential estimated at 90 billion barrels, especially offshore,” he said. He also pointed to Libya’s sizable gas reserves, noting, “Libya has 122 trillion cubic feet of gas yet to be developed. To unlock this potential, we need more investors and new technology, particularly for brownfield revitalization.”

“Our strategy spans the entire value chain. Strengthening infrastructure is essential to maximizing production and efficiency,” said Hisham Najah, General Manager of the NOC’s Investment & Owners Committees Department.

NJ Ayuk, Executive Chairman of the African Energy Chamber and session moderator, underlined Libya as a prime destination for foreign investment: “Libya is at the cusp of a new energy era. The time for bold investments and strategic partnerships is now.”

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

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Libya’s Oil Minister: Brownfields, Local Investment Key to 2M Barrels Per Day (BPD) Production

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January 20, 2025

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Libya’s Oil & Gas Minister outlined plans to boost production to 1.6 million bpd in 2025 and 2 million bpd long-term, with brownfield development and local investment at the core, during the Libya Energy & Economic Summit

TRIPOLI, Libya, January 19, 2025/APO Group/ — 

Libya is setting its sights on boosting oil production to 2 million barrels per day (bpd) within the next two to three years, with brownfield development and local investment identified as critical drivers of this growth. Speaking at the Libya Energy & Economic Summit (LEES) in Tripoli on Saturday, Minister of Oil and Gas Dr. Khalifa Abdulsadek outlined the country’s strategy to reach 1.6 million bpd by year-end and laid the groundwork for longer-term growth.

“There are massive opportunities here, massive fields that have been discovered, but a lot of fields have fallen between the cracks,” stated Minister Abdulsadek during the Ministerial Panel, Global Energy Alliance – Uniting for a Secure and Sustainable Energy Future. “We want to make sure local oil companies take part. We also want to leverage the upcoming licensing round to support our planned growth in the oil sector.”

The minister’s remarks were complemented by a strong call for international participation in Libya’s upcoming licensing round, signaling the government’s commitment to fostering collaboration and maximizing the potential of its energy sector.

Highlighting Libya’s vast natural gas potential – with reserves of 1.5 trillion cubic meters – Mohamed Hamel, Secretary General of the Gas Exporting Countries Forum, stressed the need for enhanced investment in gas projects. He pointed to ongoing initiatives like the $600 million El Sharara refinery as opportunities to stimulate economic diversification.

There are massive opportunities here, massive fields that have been discovered, but a lot of fields have fallen between the cracks

“Natural gas is available,” Hamel stated, adding, “It is the greenest of hydrocarbons and we see natural gas continuing to grow until 2050.”

The panel also tackled the global energy transition, emphasizing Africa’s unique challenges and the need for the continent to harness its resources to achieve energy security. Dr. Omar Farouk Ibrahim, Secretary General of the African Petroleum Producers Organization (APPO), underscored the critical need for finance, technology and reliable markets to drive progress.

“At APPO, we have noted three specific challenges for the African continent. Finance, technology and reliable markets,” he stated, questioning whether Africa can continue to depend on external forces to develop its resources.

As one of Africa’s top oil producers, Libya holds an estimated 48 billion barrels of proven oil reserves. The country’s efforts to expand production, attract investment and drive innovation are central to the discussions at LEES 2025. Endorsed by the Ministry of Oil and Gas and National Oil Corporation, the summit has established itself as the leading platform for driving Libya’s energy transformation and exploring its impact on global markets.

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

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