Africa’s deepwater segment has always played a key role in terms of adding significant discovered volumes, which has helped Africa sustain its hydrocarbon production. The contribution of this segment in Africa’s hydrocarbon production mix was between 20- 25% last decade and is expected to increase between 35-40% by 2035. From the under-construction and pre-FID projects, Rystad Energy estimates that there will be about 3.5 million boepd of new deepwater supply (pre-FID and under-construction projects) in Africa by 2035. Post-COVID-19, the continent has had a muted period of deepwater sanctioning activity, with the average annual deepwater resources sanctioned between 2015-19 dropping to about 330 million boe, compared to an annual average of close to 1890 million boe in 2015-19. If project timelines follow through, Africa could see annual average deepwater resource sanctioning activity surpassing 2 billion boe in the 2025-29 period.

Source: The North Africa Journal November 14, 2024 09:01 UTC