Opinion | Kenyan Think Tank: The Belt and Road Initiative — A Catalyst for Africa’s Energy Growth

Through the Belt and Road Initiative—one of the key policy frameworks promoting Africa’s economic growth—China has deepened energy cooperation with African countries, continuously strengthening China-Africa relations. However, the COVID-19 pandemic has significantly impacted energy markets, and its repercussions are expected to persist for several years. According to the International Energy Agency (IEA), global energy demand fell by 6% in 2020—the largest decline in the past 70 years. In particular, global electricity demand dropped by 2.5% in the first quarter of 2020; comprehensive lockdowns and containment measures triggered daily demand reductions of at least 15% in Italy, Spain, the UK, France, India, and the United States. Although Africa’s energy sector had been on a growth trajectory, the unexpected shock of the pandemic severely undermined the continent’s development prospects. Current State of Africa’s Energy Sector UN Sustainable Development Goal 7 aims to ensure universal access to affordable, reliable, and modern clean energy by 2030. Yet the pandemic outbreak this year has negatively affected progress toward this goal, potentially causing further delays. Currently, 565 million people worldwide still live without electricity, and another 900 million lack access to clean cooking fuels; the global population lacking energy access may become increasingly concentrated. According to an IEA report from 2019, 75% of the world’s unelectrified population resides in sub-Saharan Africa—a proportion that has risen in recent years. In oil and gas, Africa currently accounts for 7.3% of global natural gas reserves, thanks largely to major discoveries in Mozambique in recent years. However, falling energy prices and pandemic-induced demand declines have led to postponements or cancellations of numerous oil and gas projects across the continent. Rystad Energy, an energy research and business intelligence firm, noted: “Sub-Saharan Africa is considered a region of enormous potential—but also high risk—and attracts more attention than other regions globally.” Reports indicate that in April 2020, Brent crude oil prices hit a low of USD 16.51 per barrel—down from approximately USD 65 per barrel at the start of the year. In April 2020, ExxonMobil announced the postponement of its large-scale Gas Project in Area 4, Mozambique, with the restart date to be determined later. Similarly, in February 2020, Tullow Oil announced layoffs affecting around 30% of its workforce across eight African countries: Ghana, Kenya, Uganda, Côte d’Ivoire, Gabon, Equatorial Guinea, Comoros, and Mauritania. Nevertheless, new major oil and gas discoveries in Egypt, Tanzania, Senegal, Mauritania, and South Africa in recent years point to promising new growth drivers for Africa’s future energy development. According to IEA data, between 2011 and 2018, over 40% of global natural gas discoveries occurred in Africa. In renewable energy: First, Africa possesses abundant clean energy resources—including wind, hydropower, geothermal, biomass, and solar—most of which remain entirely untapped. Currently, only 1% of geothermal potential and 10% of hydropower potential have been developed. Second, Africa’s energy infrastructure remains in its infancy, offering excellent opportunities to adopt more efficient, resilient, and cleaner emerging technologies and new power systems.

IGU: Africa’s Gas Market Shows Broad Prospects

Mozambique has attracted numerous foreign energy companies to invest in power generation projects. Turkish offshore power company Karpowership plans to invest USD 1 billion in constructing a new floating power plant in Mozambique. Powered by natural gas, the plant will have a generating capacity of 470–500 megawatts. This project aims to supply electricity to five million local residents and export surplus power to neighboring countries. Abu Dhabi National Oil Company (ADNOC) has acquired a 10% stake in Galp’s concession in the Rovuma Basin, Mozambique—marking ADNOC’s entry into liquefied natural gas (LNG) production in this block. Annual production capacity from this concession is projected to exceed 25 million tonnes. Australian-listed Invictus Energy has advanced development of the Mukuyu gas field in Zambia’s Cabora Bassa Basin, raising AUD 16.5 million for the initiative. The Mukuyu field is Africa’s largest undeveloped onshore gas prospect, estimated to hold 20 trillion cubic feet of natural gas and 845 million barrels of condensate. West Africa TotalEnergies has reached a Final Investment Decision (FID) for the Ubeta gas field development, which will supply natural gas to Nigeria LNG’s Bonny Island LNG liquefaction facility and commence operations in 2027, targeting a daily output of 300 million cubic feet. Akpo West Oil Field Begins Production in Nigeria Nigeria’s Akpo West oil field has commenced production, with condensate output reaching up to 14,000 barrels per day. Natural gas production is expected to reach 4 million cubic meters per day by 2028. The field connects to the existing Akpo Floating Production Storage and Offloading (FPSO) unit. ‘Development of Akpo West’ is covered under two Petroleum Mining Lease (PML) licenses signed between Nigeria and TotalEnergies, which holds a 24% equity stake. FPSO for GTA Phase I Successfully Arrives at Project Site The Greater Tortue Ahmeyim (GTA) gas project—operated by bp—reached a milestone with the arrival of its FPSO vessel for Phase I. Located on the maritime boundary between Mauritania and Senegal, this deepwater facility can process over 500 million cubic feet of natural gas per day and is expected to produce approximately 2.3 million tonnes of LNG annually for more than 20 years. North Africa Egypt Invests USD 222 Million to Boost Natural Gas Output Egyptian General Petroleum Corporation (EGPC), Shell, and Petronas signed an agreement to invest USD 222 million in Phase 10 development of the West Delta Deep Marine area. The project will increase natural gas reserves and production through drilling three new wells and constructing offshore facilities.

Mauritania Returns Former GTA Gas Deal Minister to Oil Post

15 hours ago

Mauritania appointed former minister Mohamed Ould Abdel Vetah as energy and petroleum minister, recalling his role during the 2020 Greater Tortue Ahmeyim gas deal. The appointment coincides with the GTA project commencing production in December 2024 and shipping its first LNG cargo in April 2025.

bloomberg

2026-10-11

Mauritania Returns Former GTA Gas Deal Minister to Oil Post

Mauritania Returns Former GTA Gas Deal Minister to Oil Post

FAQ