Rising crude oil prices are causing dissatisfaction among drivers. In Africa, they also promote oil activities. Drilling reboots, the main companies are once again interested in the continent and discoveries are on the way, as we just saw in Niger. Claire Fages.
The oil and gas industry is returning to Africa. After a steady decline in activity between 2014 and 2017 – years of falling oil prices, more took place in 2018. This is the largest increase in three years: 30 new wells in Africa against last year. We are still far from 100 wells on average between 2011 and 2014, but the restart is very clear. Approximately $ 7 billion was spent on exploration on the mainland, less than five billion dollars last year. With arrival, we discover 30% of the extra quantities of hydrocarbons. On Friday, Niger confirmed the potential of its depot Kafra on the Algerian border.
Sixteen African countries are planning a call for tender
2018 also marks the return of large companies in Africa. "Major" returns into force. With better balance sheets, they can and must re-invest in order to expand their deposit portfolio. British champion BP bought shares in a small company Cosmos in the gas field of Mauritania and Senegal, while the French and Italian giants Total and Eni are close to the agreement on the division of production in Côte d'Ivoire and are negotiating separately in Algeria. American Exxon Mobil bought shares in Namibia and Mozambique.
And this should not stop, as at least 16 African countries are considering new offers, including Cameroon, Congo, Côte d'Ivoire, Gabon, Gambia, Ghana, Nigeria, Senegal and Sierra Leone.
Refinery projects in eight countries
Income options for all these countries or new oil countries in Africa. Provided they are well negotiating export contracts, taking into account trends that can be brutal. Refinery construction or modernization is being considered by eight countries, including Angola, Equatorial Guinea, Congo or Ghana; some countries have already accepted this choice and, without an essential oil producer, they are exporting petroleum products to Africa, which are expected to double their consumption over the next twelve years. These are Burkina Faso, Mali, Nigeria, and of course Nigeria.