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Africa’s Gas Potential Investments Reached Almost $103 Billion This Year

Africa’s Gas Potential Investments Reached Almost $103 Billion This Year

With greenfield investments in Nigeria, Egypt, Mozambique are reaching almost $103 billion this year; it’s clear that liquefaction is seen as the most worthwhile strategy for realizing Africa’s gas potential, stated Gas Exporting Countries Forum (GECF).

Africa is an exciting frontier within the international natural gas sector. The continent holds 7.1 % of proven global gas reserves and is predicted to contribute almost 10 % of global production growth by 2024.

Nigeria accounts for over 50 % of present LNG production capacity on the continent. With October 2019 seeing a final investment decision on the $12 billion growth of the country’s liquefaction plant at Bonny Island in Rivers State.

The Train 7 expansion project would improve Nigerian LNG production capacity by 35 %, from 22 million tons every year to 30 million — present indications level to a favorable verdict. The twenty-year-old facility is owned and operated by a consortium which includes NNPC, Shell, Total, and Eni.

In North Africa, Egypt has successfully re-established itself as an essential investment destination following the downturn within the gas sector in 2014. Within the first half of 2019, the behemoth Zohr offshore fuel subject produced 11.3 billion cubic meters – 3.6 times more than it did in 1H2018.

In June, Anadarko gave its remaining approval for a $20 billion gas liquefaction and export terminal in Mozambique.

Investors are additionally paying attention to smaller initiatives in nations like Mauritania, Senegal, and Cameroon. Operators have been efficiently able to deploy floating liquefied natural gas (FLNG) technology to realize the value of smaller assets in these markets, and this could be a continuing trend in 2020 and beyond.

About the author

Dennis Norwood

Dennis Norwood

Dennis is the chief contributing author and editor for the energy column. He has expert knowledge about environmental science has acquired quite a lot of on-field experience about energy resources. He was engaged with many groups to educate people about the diminishing non-renewable energies and usage of renewable energies. He has written many papers based on the implications of renewable energy sources. His articles are very much inspiring and portray the positive aspects of using renewable energies.