By: Economic confidential

The African Energy Chamber’s State of African Energy 2025 Outlook Report has projected capital expenditure of $43 on oil and gas projects in Africa in the current year.

This highlights strong investment trends, with West and North Africa leading the charge and onshore natural gas projects set to dominate, setting the stage for discussions at African Energy Week later this year.

According to the outlook report, investment remains strong in 2025, with total CapEx (capital expenditure) estimated at $43 billion, while long-term projections indicate an increase to $54 billion by 2030 – reinforcing Africa’s position as a critical player in the global energy market.

The report indicated that West and North Africa continue to lead CapEx spending, with West Africa contributing over 50% of the continent’s total expenditure from 2023 through the decade.

The report added that established oil producers such as Nigeria and Angola remain dominant, while emerging players like Mauritania and Senegal are attracting increasing investment.

The continent’s rich liquid hydrocarbon resources continue to draw the majority of capital, accounting for over 60% of total hydrocarbon investment through 2030.

However, natural gas is gaining momentum, with its share of CapEx rising to over 40% by the end of the decade, the report added.

It was also projected that onshore projects are expected to attract the majority of investment, accounting for 56% of total CapEx by 2030, driven by lower unit costs and increasing interest in onshore natural gas monetisation.