The Energy Republic February - March Edition 2023

AFRICA ENERGY STORIES
AFRICA’S ENERGY OUTLOOK 2023:
AEC LAUNCHES ‘STATE OF AFRICA ENERGY’ SPECIAL REPORT
...The African Energy Chamber has officially launched ‘The State of African Energy: 2023 Outlook,’
a consolidated report providing global investors and energy companies with the insights they need
to make informed decisions in 2023 and beyond.
The African Energy Chamber (AEC) – the voice of the African energy
sector – has launched its newest publica on, ‘The State of African
Energy: 2023 Outlook,” a detailed report analyzing current,
emerging and future oil and gas market trends as well as geopoli cal
procedures shaping both the global and African oil and gas sector.
With the global oil market suffering combined impacts from the COVID-19
pandemic and the Russian-Ukraine war, the report provides a detailed
analysis of how produc on and mone za on will look like in 2023 for both
African-producing countries such as Libya, Angola and Nigeria and global
energy companies. As the global oil market vola lity con nues, the AEC
report inves gates what this means for African producers and the global
market.
With the AEC projec ng Nigeria to increase oil produc on from 1.65
million barrels per day (bpd) in 2022 to about 1.75 million bpd in 2023 and
Libya from 1.12 million bpd in 2020 to 1.3 million bpd in 2023, while
Angola will record a decline from 1.13 million bpd in 2022 to about 1.1
million bpd in 2023, the report highlights the role of African energy in
ensuring global energy security while exploring the challenges and
opportuni es faced across the con nent.
Meanwhile on the gas front, as western operators exit the Russian market
due to the invasion of Ukraine, a significant decline in global produc on
and increase in prices is expected. As such, the report analyses the impact
on global trade and supply as well as on explora on, produc on and
infrastructure development across the African market.
With the demand for gas in Europe an cipated to rapidly increase over the
next three years, and Europe seeking to replace the majority of piped gas
which the bloc secures from Russia leveraging liquefied natural gas (LNG)
from other regions,
6
7
8
KEY HIGHLIGHTS:
Eni, TotalEnergies and BP round off the top
three majors in Africa in terms of produc on
Nigeria, Algeria and Egypt are expected to lead
African gas and LNG flows in the short-term
Drilling ac vity expected to increase marginally
from about 895 wells in 2022 to 915 wells in
2023 and further to just over 1000 wells in
2025.
Solar photovoltaic (PV), onshore wind and
hydrogen expected to be the main sources
driving the renewable energy capacity in Africa.
African Solar PV, onshore wind and hydrogen
capacity to reach 70GW, 51GW and 50GW.
Mauritania, Morocco and Egypt expected to be
the leaders in renewables in the medium-term.
Africa’s contribu on to global solar PV,
onshore wind and hydrogen in 2022 – 2%, 1%
and