African Energy Chamber presents its outlook for 2026 at African Energy Week

The African Energy Chamber (AEC) will launch its latest strategic outlook on the African energy sector at Africa Energy Week: Invest in African Energy, scheduled for September 30. The report, titled “State of African Energy 2026 Outlook,” was developed in collaboration with S&P Global Commodity Insights and provides an overview of the trends, opportunities, and challenges facing the energy sector.

With energy demand in Africa expected to quadruple by 2030, reaching $54 billion in investments in the sector, this report will serve as an essential guide for financiers and project developers. A key focus of the outlook is the focus on exploration and production (E&P) in Africa, with oil and gas production forecast to reach 11.4 million barrels per day by 2026, with Nigeria leading the way in remaining recoverable resources.

Global E&P spending is expected to reach $504 billion by 2026, with Africa contributing approximately $41 billion. This funding is primarily for offshore projects in Mozambique, Angola, and Nigeria. The report also highlights the growing attractiveness of immature and frontier basins in Africa, with exploratory drilling planned in countries such as South Africa, Namibia, and Côte d'Ivoire.

With Africa's rapidly growing population and economy, demand for refined products is expected to grow from 4 million barrels per day in 2024 to over 6 million barrels per day by 2050, a 50% increase. However, the report indicates that there are significant opportunities to improve the efficiency of oil trading operations in Africa, requiring over $20 billion in downstream infrastructure investments by 2050.

Africa's gas potential is also highlighted, with projected production of over 300 billion cubic meters of natural gas in 2024, representing 8.5% of global LNG supply. The report examines new LNG projects in Angola, Senegal, and Mauritania, while addressing barriers to gas monetization and industrialization.

In terms of electricity and renewable energy, demand is expected to increase from approximately 1,028 TWh in 2025 to 2,291 TWh by 2050. Africa is undergoing a transition to renewable energy, with approximately $34 billion invested in clean energy technologies between 2020 and 2025. The report predicts that natural gas will account for 45% of total electricity generation by 2050.

Analysis of Africa's energy transition reveals significant implications for the continent. By 2060, Africa's population is expected to represent 28% of the global population, while contributing only 9% of energy-related emissions. This highlights the potential for Africa to pursue a low-carbon development path.

NJ Ayuk, Executive Chairman of the AEC, said: “The year 2025 has been marked by unprecedented challenges, making our work more important than ever. We are committed to helping African energy stakeholders navigate a complex and ever-changing global energy landscape.”

Djami A.