Africa Targets Reversing $15bn Annual Crude Oil, Gas Export Losses

The Association of Petroleum Producers’ Organisation (APPO) said Africa is now positioned to halt the export of about 70 per cent of its crude oil and 45 per cent of natural gas, which causes the continent to lose $15 billion every year.

The APPO secretary general, Farid Ghezali, disclosed this in his remarks at the official opening of the 2026 edition of the Nigeria International Energy Summit (NIES), in Abuja.

Ghezali said that, despite the continent’s immense potential, Africa was facing a paradoxical and frustrating reality: the need to export its natural resources in significant quantities.

However, Ghezali, forecasts a turnaround of the situation, with the operations of the African Energy Bank (AEB) which is being positioned to raise about $15 billion to finance oil and gas projects in the continent of Africa by 2030.

APPO said the bank, which would begin operation fully by June in Abuja, was expected to create over 500,000 direct jobs in the local midstream.

African Energy Bank is a joint initiative of APPO member states and the African Export-Import Bank (Afreximbank), established with an initial capital of Five billion dollars.

Its core mandate is to mobilise domestic and regional capital for energy infrastructure, reduce Africa’s reliance on external financing, and align energy investments with the continent’s long-term development and industrialisation goals.

“The AEB will unify intra-African pricing for gas and oil, allowing our member countries to achieve savings of up to 30 per cent on their energy imports, a potential gain of 1.4 billion dollars for Africa,” he said.

He said financing remained the main bottleneck hindering the development of the continent’s strategic projects, adding that over 150 essential projects, from refineries to pipelines, such as the Ajaokuta-Kaduna-Kano (AKK) pipeline, to gas infrastructure remained blocked.

To address this anomaly, the APPO scribe, said the African Energy Bank was designed to unlock the 200 billion needed for the continent’s midstream-downstream projects by 2030.

Ghezali disclosed that the African Energy Bank would allow the listing of shares of the national oil companies in the continent and flagship projects, such as the Dangote Refinery or the AKK Gas Pipeline.

He explained that it would also connect Africa’s certified projects to the world’s largest sovereign wealth funds and capital markets through structured equipment and public-private partnerships.

The chairman, Independent Petroleum Producers Group (IPPG), Adegbite Falade, in his remarks said Nigeria must build an energy industry that could sustain itself, deliver lasting value to Nigerians through collaboration and consolidation rather than through fragmentation.

“The future of the industry lies not in the whole model of extraction and exports of the nation’s raw hydrocarbons, but it lies in creating in-country value that fuels the economy and increasingly contributes to Gross Domestic Product (GDP) growth,” he added.

Falade said since 2025 edition of the summit, Nigeria’s oil and gas industry had recorded notable progresses across the entire value chain, adding that the upstream scaled up in terms of liquid production while gas production had grown significantly.

“This growth in liquid has been supported by an increase in export pipeline availability, reduced crude losses, and stronger indigenous contribution to production.

For the first time, indigenous producers and independents now account for more than 50 per cent of national production.

“We continue to see sustained implementation of the PIA and strengthening of sales through the issuance of relevant and appropriate executive orders.

“However, a few things still remain by way of all kinds of process stakeholders if we are to build an energy industry that is truly self-sufficient and that consistently creates value for the nation.,” Falade said.

He, however, urged the federal government to continue creating an industry that could allow the driving force of private capital to build our industry infrastructure.

Falade said, “Without this, we will not be able to reach the massive gap in potential that we have to meet in our contribution to the nation’s GDP.

We must reduce bureaucracy and streamline industry fees and related charges to ensure operators remain competitive.

Our industry today operates at a significantly higher cost premium relative to other non-share jurisdictions. We must address the issue of access to long-term and affordable capital.

“We must ensure policy stability and adopt competitive fiscal frameworks that support resource monetisation and stimulate interest rate growth.”