Latest news with #RovumaLNG
South China Morning Post
15-03-2025
- Business
- South China Morning Post
As Chinese gas investments in Africa take off, oil imports sink
China's oil imports from Africa may have dropped sharply in recent years, but investments by Chinese companies in liquefied natural gas (LNG) are booming. Advertisement Nearly two decades ago, African oil accounted for close to a third of China's imports. Now that figure has dropped to about 10 per cent, with China sourcing more of its oil from the Middle East and Russia. But now in Africa , Chinese businesses are increasingly shifting into LNG investments – both to help China meet its swelling demand and to cut its reliance on Australian gas. Mozambique, in particular, has emerged as a hotspot for global natural gas production following the discovery of more than 5 trillion cubic metres (176 trillion cubic feet) of natural gas reserves in the Rovuma basin, off the country's northeast coast. China National Petroleum Corporation (CNPC) holds a 20 per cent share in the US$30 billion Rovuma LNG project, which is set to see an 18 million tonne-per-year offshore facility built. The main partner in the project, US multinational ExxonMobil, said although the scheme had faced finance delays and worsening insurgency, it was on track to reach its final investment decision next year. Advertisement
Zawya
07-03-2025
- Business
- Zawya
African National Oil Companies (NOC) Drive Exploration and Production Through IOC Collaboration
Africa's national oil companies (NOC) are moving beyond operating as state-representatives by transforming themselves into competitive upstream players. By strengthening their balance-sheets through partial privatization, transferring their regulatory roles to independent entities and acquiring more assets, NOCs are emerging as strong partners for foreign firms. Boosting Production Major oil producers in Africa are striving to boost production and NOC-IOC collaboration is at the forefront. Libya's NOC is working with IOCs Repsol, bp, TotalEnergies, ConocoPhillips and more to increase output to two million barrels per day (bpd). In collaboration with the NOC, TotalEnergies has achieved a 20% increase in production at the Waha field; Repsol plans to drill nine new prospects in 2025; while Eni is planning four exploration wells in 2025. Algeria's Sonatrach will increase hydrocarbon production by 2.5% this year, actively pursuing international partnerships following a revision of its Hydrocarbons Law in 2029. Negotiations are underway with ExxonMobil and Chevron to boost exploration. These efforts reflect a broader trend across the continent, where NOCs are leaning on foreign partnerships to advance oil and gas production. Advancing Gas Monetization Amid a surge in gas monetization, Africa has emerged as a major LNG producer. Collaboration between NOCs and IOCs have been at the forefront of this gas drive, leading to the emergence of new LNG exporters. Senegal's Petrosen and Mauritania's SMH worked alongside bp and Kosmos Energy to develop the Greater Tortue Ahmeyim LNG project – situated on the maritime border of the two countries and producing first LNG in January 2025. Mozambique's ENH is working closely with foreign operators to develop several LNG projects, including TotalEnergies (Mozambique LNG); ExxonMobil (Rovuma LNG) and Eni (Coral South and Coral North). The 3.4 mtpa Coral South FLNG project has been operating since 2022 while ExxonMobil plans to make FID on Rovuma LNG in 2026. The Tanzania Petroleum Development Corporation is developing the Tanzania LNG project, working with Shell and Equinor to monetize resources in Blocks 1, 2 and 4. While development has been delayed, the operators remain committed to collaboratively bringing the project online. In Angola, which has been an LNG producer since 2013, the NOC Sonangol is working with its New Gas Consortium partners Azule Energy, Cabinda Gulf Oil Company and TotalEnergies to increase LNG production capacity. The partners completed the offshore platform for Angola's first non-associated gas project in February 2025, with production on track for early-2026. Unlocking New E&P Markets A slate of discoveries in recent years have opened up new oil and gas plays across the continent. Following an increase in its oil and gas budget from $120 million to $246 million for the 2024/2025 period, the Uganda National Oil Company (UNOC) is driving exploration across underexplored areas in the country. In partnership with TotalEnergies and CNOOC, the company will start production at the Kingfisher and Tilenga oilfields in 2025. UNOC is also advancing exploration in the Moroto-Kyoga basins, with preliminary studies aimed at uncovering new oil fields. In Namibia, NAMCOR is working with IOCs toward first oil production from the Orange Basin by 2029. Major projects include the Mopane field, which made its third discovery last month, and the Venus field, which targets FID in 2026. The company aims to secure higher stakes in future oil and gas projects – increasing its share from the minimum 10% to between 20-30% - underscoring a commitment to greater participation in field development. Meanwhile, the South Africa National Petroleum Company (SANPC) – launched in September 2024 – strives to facilitate greater investment in exploration, natural gas monetization and infrastructure development. While major gas deposits were found in the Outeniqua Basin in 2019 and 2020, operational challenges have impacted development. The SANPC seeks to address these challenges through IOC collaboration and foreign investment. The company also strives to unlock the potential of the Orange Basin. Fostering Collaboration at African Energy Week 2025 As the largest energy event in Africa, African Energy Week: Invest in African Energies facilitates collaboration between Africa's NOCs and international operators. Taking place in Cape Town from September 29 to October 3, 2025, the event offers a platform for strategic dialogue, networking and dealmaking. 'African NOCs are driving the continent's next wave of innovative oil and gas developments. By partnering with global operators and strengthening their operational capacity, NOCs are not only driving projects forward but showcasing the competitiveness of African operators,' states Tomás Gerbasio, VP Commercial and Strategic Engagement, African Energy Chamber. AEW: Invest in African Energies is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit for more information about this exciting event. Distributed by APO Group on behalf of African Energy Chamber.
Zawya
25-02-2025
- Business
- Zawya
G20's Impact on African Regional Energy Development: A Focus on China
China's growing influence in Africa's oil and gas sector, particularly in exploration and production (E&P), continues to reshape the region's energy landscape. At the heart of this expansion is China's strategic interest in securing energy resources to fuel its growing economy while advancing its Belt and Road Initiative. As the global energy transition accelerates, China's engagement with Africa's oil and gas sector has evolved, reflecting both a long-term investment strategy and a deeper commitment to regional energy security. China National Offshore Oil Corporation (CNOOC) is actively developing key oil fields across Africa, including Nigeria's ultra-deep Egina field and the recently operational Akpo West field. In Niger, China National Petroleum Corporation (CNPC) signed a $400 million crude supply deal in 2024 and is building a 1,980-km pipeline linking the Agadem Rift Basin to Benin's Atlantic Oil Terminal. In South Sudan, Dar Petroleum Operating Co., which counts CNPC and Sinopec as major shareholders, resumed production this month after nearly a year-long hiatus. Sinopec is also expanding its footprint in Algeria through a March 2024 agreement with Sonatrach, which includes plans for the Hassi Berkane Nord exploration zone. Meanwhile, United Energy Group is set to double its Egyptian output after acquiring Apex International Energy's Western Desert portfolio, adding over 22,000 barrels per day to its production across five concessions. In the Republic of Congo, Chinese firm Wing Wah is leading the Banga Kayo gas monetization project, converting flared gas into LNG, butane and propane. CNOOC is advancing Uganda's Lake Albert project, targeting first oil from the Kingfisher field in 2025. In Mozambique, CNPC is a partner in the $30 billion Rovuma LNG project, expected to reach FID in 2026, while CNOOC signed agreements in April 2024 for five exploration blocks in the Save and Angoche offshore areas. CNOOC is also making waves in Gabon, drilling the Tigre-1 probe in a high-potential deep-water oil prospect, marking the company's first exploration in Gabon's deep waters in over five years. China's energy investments in Africa extend beyond exploration and production to include vital infrastructure development, including pipelines, power plants and refineries. In Angola, China National Chemical Engineering Co. secured the EPC contract for the $6 billion Lobito Refinery, while China Engineering and Machinery Corp. was recently awarded the contract to build a 350 MW gas power plant in Nigeria. In South Sudan, CNPC and the government are exploring plans to build a new pipeline passing through Djibouti and Ethiopia, aimed at enhancing export capabilities as production increases in Blocks 3 and 7. Additionally, CNOOC is a key partner in the $5 billion East African Crude Oil Pipeline, which will facilitate the first Ugandan oil exports, with financing from the China Export-Import Bank and several other Chinese banks. These infrastructure projects are part of China's broader push to integrate African nations into global energy supply chains, enabling greater energy access while supporting regional economic growth. Looking toward 2025 and beyond, China's role in Africa's energy sector is expected to evolve in response to emerging trends in the global energy market, including the drive toward cleaner energy sources and greater emphasis on sustainability. Through companies like China General Nuclear Power Group (CGN), JinkoSolar and China Energy Engineering Group, China is funding wind, solar, nuclear and hydropower projects across the continent, reinforcing its commitment to the African energy transition. This shift aligns with China's broader climate goals, which include achieving carbon neutrality by 2060, and highlights the growing synergy between China's energy investments and Africa's renewable energy ambitions. As part of this growing collaboration, the African Energy Chamber (AEC) will host the Invest in African Energies investor forum in Shanghai on March 13, event will focus on strengthening China-Africa relations and creating new opportunities for Chinese producers, investors and equipment suppliers to expand their footprint across Africa. The Shanghai forum will set the stage for the African Energy Week (AEW): Invest in African Energies conference in Cape Town, where key stakeholders will continue to discuss how China's increasing energy investments in Africa can drive future development, support the continent's energy transition, and unlock new avenues for energy cooperation across both traditional and renewable sectors. "China's expanding role in Africa's energy sector is not only reshaping regional markets, but also creating vital opportunities for investment, infrastructure development and long-term energy security. As we prepare for the Invest in African Energies investor forum in Shanghai and African Energy Week 2025 in Cape Town, we look forward to strengthening partnerships that drive sustainable growth across both traditional and renewable energy industries,' said Leoncio Amada Nze Nlang, CEMAC Executive President at the AEC. To register, visit: AEW: Invest in African Energies is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit for more information about this exciting event. Distributed by APO Group on behalf of African Energy Chamber.
Zawya
18-02-2025
- Business
- Zawya
Mozambique's Gas Potential Crucial for Africa's Economic Transformation
Mozambique stands out as a key player in natural gas production and plays a crucial role in Africa's agenda to expand electricity access and clean cooking solutions, according to NJ Ayuk, Executive Chairman of the African Energy Chamber ( Ayuk highlighted key projects, market trends and policies accelerating Mozambique's energy sector and position as a global energy hub during an interview at the Invest in African Energy: Mozambique Roundtable last week. 'No other country in Sub-Saharan Africa has as much untapped and unexplored gas as Mozambique. We are encouraging the government, the IOCs and investors to ensure every drop of hydrocarbons is produced to drive agricultural growth, strengthen energy security and enhance socio-economic development,' Ayuk stated. He mentioned ExxonMobil's $25 billion investment in the Rovuma LNG initiative, Eni's Coral Sul expansion with the Coral North project and TotalEnergies' ongoing efforts in the multi-billion-dollar Mozambique LNG project, as key projects driving Mozambique's energy expansion. 'These developments, coupled with gas-to-power and petrochemical projects, signal Mozambique's readiness to attract new investors and further integrate into the global energy market,' stated Ayuk. While renewables contribute to diversifying the energy mix, the intermittency nature of wind and sun energy makes gas a more reliable energy resource for resilient baseload power, according to Ayuk. He also emphasized Mozambique's ability to produce urea and ammonia from its gas reserves, bolstering food security and reducing Africa's dependence on external markets like Ukraine. Ayuk said the energy sector could serve as a platform to empower local communities, females and the youth as active industry participants not mere bystanders. Expanding on local content development, Ayuk praised Mozambique's commitment to utilizing its gas resources for domestic needs. He recognized the country's gas-to-power strategy and the inclusion of SMEs within the energy value chain. He encouraged the government to streamline regulations, eliminate bureaucratic bottlenecks and introduce new licensing rounds to unlock the market's full potential. Ayuk also underscored the importance of collaboration between Mozambican stakeholders and other African nations to position the continent as a competitive and attractive investment destination. Watch for video interview: Distributed by APO Group on behalf of African Energy Chamber. AEW: Invest in African Energies is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit for more information about this exciting event.
Zawya
14-02-2025
- Business
- Zawya
ExxonMobil Showcases $20M Local Content Investment During African Energy Chamber's (AEC) Mozambique Roundtable
Global energy major, ExxonMobil has invested over $20 million in Mozambique as part of its local content development strategy since 2017 and plans to direct more investments in the local economy through upcoming projects, according to Armando Afonso, Public&Government Affairs Manager, ExxonMobil Mozambique. Speaking at the Invest in African Energies: Mozambique Roundtable, organized by the African Energy Chamber and the Mozambique Energy Chamber, Afonso said expanding opportunities within Mozambique's oil and gas sector are strengthening ExxonMobil's commitment to local content investments. Afonso highlighted the vast reserves in Area 4, the country's prime location and strategic market access, and the Rovuma LNG project's low-emissions profile as key drivers of ExxonMobil's commitment. He also highlighted the potential for integrating renewable energy sources such as solar, wind and hydrogen production within the Area 4 project. 'With the ramp-up of the Rovuma LNG project, our impact on local content will continue to grow, creating opportunities across the entire economy,' he stated. 'Even though we are not yet in production, we have already positioned ourselves as a leader in local content with our Primary Center training local SMEs and our supplier portal enabling local businesses to register and partner with us.' Adding to the discussion Valerio Parasiliti Parracello, Exploration Manager at Eni Mozambique pointed out that while the company currently produces from only six wells at the Coral South project, significant opportunities exist for further expansion. 'With Coral North and onshore projects, we see great potential to expand our portfolio and production in Mozambique,' he said. Christelle Demars, Geoscience&Reservoir Manager for TotalEnergies' Mozambique LNG Project, emphasized the high-quality gas resources in the Rovuma Basin as a major attraction for the company. 'In just one area, we have 65 trillion cubic feet of gas, which will unlock enormous opportunities for Mozambique,' she stated. She said TotalEnergies will supply gas to the local market as part of its agreement with the government and local content development strategy. Distributed by APO Group on behalf of African Energy Chamber.
