– As African nations renew focus on oil & gas
Cape Town, South Africa — The Secretary General of the African Petroleum Producers Organization (APPO), Omar Farouk Ibrahim, will deliver an address at the African Energy Week (AEW): Invest in African Energy conference – taking place November 4–8 in Cape Town.
At AEW 2024 Invest in African Energy, Ibrahim will engage with investors, global players, and African nations to promote investment opportunities and discuss strategies for sustainable hydrocarbon development across the continent.
For decades, APPO has been instrumental in promoting the sustainable development of Africa’s petroleum resources, spurring economic growth continent-wide by supporting policy development, facilitating cooperation between producing nations and promoting the sustainable expansion of the oil and gas sector in Africa.
With 18 member nations, APPO continues to achieve notable milestones in encouraging investment and enhancing the regulatory and commercial landscape of the continent, all of which will be outlined during AEW: Invest in African Energy this year.
AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.
With a mission to promote cooperation in the field of hydrocarbons between member states and with global institutions, APPO promotes oil and gas as a catalyst for energy security in Africa. Recently, the organization launched a study on the Future of the Oil and Gas Industry in Africa in the Light of the Energy Transition, which identified three major areas of concern: finance, technology, and markets. Following the study, APPO proposed concrete solutions, including the establishment of the Africa Energy Bank (AEB) in partnership with Afreximbank.
Scheduled to commence operations by July this year, the bank’s primary objective is to provide financing for oil and gas projects in Africa, aiming to reduce the reliance on external funding sources. The institution will have a start-up capital of US$5 billion, and by attracting investment from oil-producing nations such as Saudi Arabia, the United Arab Emirates, Qatar, and Kuwait, the AEB seeks to address funding challenges faced by oil and gas projects amidst the global transition to renewable energy. Currently, seven countries – including Ghana, Egypt, Nigeria, Benin Republic, Côte d’Ivoire, South Africa, and Algeria – are being considered to host the bank’s headquarters.
Meanwhile, APPO and the AEC signed an MoU in Brazzaville in January 2024. This agreement aims to improve Africa’s energy security and promote local content development. Recognizing the pressing need to address the continent’s energy deficit, the partnership seeks to empower African companies to undertake larger oil, gas, and energy projects. By leveraging private sector potential and fostering intra-African energy trade, the collaboration aims to drive technology-focused investments and partnerships across the sector, address challenges, and create an enabling environment for investors.
APPO’s support extends both mature and emerging oil and gas producers in Africa. In addition to facilitating cooperation among current producing markets, the organization supports new developments across the continent – of which many are slated to start production in the coming years. In the MSGBC region, projects include the Greater Tortue Ahmeyim (GTA) LNG hub in Mauritania/Senegal – poised to establish both countries as LNG exporters – and the Sangomar Offshore Oil Project in Senegal – set to inaugurate the nation as an offshore oil producer. Progress is well underway for both endeavors, with GTA targeting first gas in Q3/Q4 and Sangomar slated to commence oil production in 2024.
Additionally, Eni could take a final investment decision (FID) in 2024 on the Coral Norte FLNG in Mozambique, consolidating the country’s position as an LNG exporter, while Namibia plans to produce first oil from offshore discoveries in the Orange Basin by 2030. These developments are poised to drive hydrocarbon production in Africa, accelerating energy security and continent-wide economic growth.
“The Chamber welcomes the return of APPO to AEW: Invest in African Energy,” states NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC). “APPO is a necessary player in Africa’s energy sector. The organization’s commitment to harnessing Africa’s oil and gas resources in a just and sustainable manner underscores its pivotal role in driving economic growth and promoting energy security across the continent, particularly in accelerating oil and gas projects efficiently to meet the continent’s growing energy needs.”
At AEW: Invest in African Energy, Ibrahim will represent APPO, setting the precedent for continued exploration and production of African oil and gas resources. During the conference, he is expected to engage with stakeholders and African nations, urging them to prioritize the sustainable use of Africa’s resources and advocating for a measured approach rather than swift transitions away from hydrocarbons.
