In the opening panel discussion of "African Energy Week: Investing in African Energy", the African Energy Chamber (AEC) reported that "global energy demand is expected to increase by 27 per cent by 2040, with fossil fuels accounting for the majority of the global energy mix beyond 2050".
Meeting this demand, it said, will require alternative energy supplies, and Africa, with more than 125 billion barrels of proven oil reserves and 620 trillion cubic feet of gas, "is uniquely positioned to drive global energy security efforts".
The panelists at the conference, which runs until Friday in Cape Town, South Africa, sought to explore "how African energy resources drive global energy security" and regulatory reforms that strengthen the business environment are making the continent a highly competitive investment destination, as noted by the representative of Angola.
Angola is using regulatory reform to increase production and, according to the Minister of Mineral Resources and Petroleum, Diamantino Pedro Azevedo, it has changed the governance model of the sector, introducing two new regulators – one for the upstream sector and another for the midstream and downstream sector – and has also made changes to the laws and the tax regime.
Accelerating exploration is also a top priority for emerging producers in Africa, he said.
Africa's largest fuel producers, such as Angola, continue to invest heavily in exploration and production with the aim of increasing production and exports, as highlighted by the entity organising the conference.
"In 2024, Nigeria launched its latest licensing round. Energy majors have resumed exploration in Libya, while Angola is preparing to launch its next offshore bidding round," he said.
"These efforts will drive production growth in Africa, cementing the continent's position as a global supplier," the African Energy Chamber stressed.
"Namibia, for example, is widely regarded as the world's largest frontier exploration zone, with a series of offshore discoveries made since 2022. The country is targeting first oil production in the Orange Basin by 2029," he said.
International oil companies such as Chevron are pursuing a multi-energy approach to generate high returns and unlock new sources of sustainable energy for Africa, he concluded.
