Uche Cecil Izuora
African oil and gas operators have called on governments to provide fiscal stability, faster regulatory approvals and stronger investment protection to unlock the continent’s more than 125 billion barrels of proven oil reserves amid declining global financing for hydrocarbon projects.
They made the appeal at the opening of AOW Energy 2026 in Accra, where Chairman of the Independent Petroleum Producers Group (IPPG), Adegbile Falade, said Africa must move quickly to monetise its resources before the window for investment narrows.
Falade said the continent holds over 125 billion barrels of proven crude oil reserves and more than 620 trillion cubic feet of natural gas, representing about nine per cent of global oil reserves and eight per cent of gas reserves, yet attracts only about six per cent of global upstream investment.
He described the gap between resource endowment and capital inflows as Africa’s biggest opportunity.
According to him, Africa produces about eight million barrels of crude oil daily but refines barely half of that output, forcing the continent to spend more than $60 billion yearly importing refined petroleum products.
He added that nearly 600 million Africans lack access to electricity, while almost one billion people still rely on firewood and charcoal for cooking.
The IPPG, which represents 34 Nigerian indigenous exploration and production companies, said African governments should prioritise predictable fiscal policies, quicker permit approvals and respect for contracts to encourage investment.
Beyond policy reforms, the IPPG urged African countries to strengthen financing through the Africa Energy Bank, jointly established by the African Petroleum Producers Organisation and Afreximbank.
The bank, headquartered in Abuja, has an initial capital base of $5 billion, with plans to mobilise $10 billion in its first phase and expand to $15 billion by 2030.
The group also called for accelerated investment in gas infrastructure, noting that Africa has fewer than 50,000 kilometres of gas pipelines compared with Europe’s more than 200,000 kilometres, despite being three times larger geographically.
Meanwhile, Falade, Chairman of the IPPG, says Africa will require more than $200 billion in yearly energy investment by 2030 to close its widening energy investment gap.
According to him, Africa’s vast oil and gas resources, rising domestic energy demand and the growing role of indigenous operators presented a major opportunity for global investors to participate in the continent’s next phase of industrialisation.
Speaking on Africa’s Upstream Outlook: Setting the Strategic Tone at the opening ceremony of AOW: Energy 2026 in Accra, Ghana, he said the scale of investment required to meet Africa’s energy needs could also unlock significant opportunities across the continent’s oil and gas industry.
According to him, Africa’s expanding energy demand, coupled with its substantial natural resources and increasing participation of indigenous operators, makes the continent an attractive destination for investors.
The conference, themed “Investing in African Natural Resources”, is focused on accelerating exploration, unlocking upstream partnerships and advancing investment in Africa’s natural resources.
The investment call came as Ghana’s President, John Mahama, warned that Africa could not afford an energy transition that worsens energy poverty or disrupts economic development, urging the continent to pursue a “pragmatic, development-focused” approach that combines renewables with oil and gas.