$600bn Needed Annually for Africa’s Energy Development – NUPRC
The Chief Executive Officer of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) Gbenga Komolafe, has said that Africa will require more than $600bn annually in upstream oil and gas investment to meet its fast-growing energy demands.
He added that Nigeria is well-positioned and fully prepared to attract a substantial share of the capital inflow needed to power the continent’s development sustainably.
Komolafe stated this in London at the 2025 edition of the Africa Energies Summit, where Nigeria presented a suite of new initiatives to woo investors and deepen exploration in its upstream oil and gas sector. A copy of his speech was obtained by our correspondent on Thursday.
He also said that the transparent bid rounds in 2022 and 2024 have repositioned Nigeria as a global investment hub for oil and gas.
He said the commission is positioning Nigeria as a resilient, reform-driven, and investment-ready destination at the heart of Africa’s energy renaissance.
Quoting a 2023 study by the International Energy Forum, the NUPRC boss said Africa must mobilise over $600bn each year through 2030 to address the continent’s rising energy needs, noting that demand is expected to grow by 30 per cent by 2040 due to population growth, industrialisation, and the drive for universal energy access.
He emphasised that despite the global shift toward decarbonisation, hydrocarbons will continue to play a vital role in meeting global energy demand, citing the BP Energy Outlook 2024, which projects that fossil fuels will still account for more than 50 per cent of the world’s energy mix by 2050.
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“As the world races towards a low-carbon future, projections from BP’s Energy Outlook 2024 remind us that hydrocarbons will still supply over half of global energy needs by 2050. Meanwhile, Africa’s own energy demand is poised to surge by 30 per cent by 2040, driven by rapid population growth, industrial ambition, and the rightful quest for universal energy access. Meeting this demand sustainably will require over $600 billion in upstream investments annually through 2030, according to a study conducted by the International Energy Forum last year
“This investment is not just desirable; it is absolutely necessary if Africa is to meet its developmental goals and transition sustainably. Interestingly, the global community increasingly recognises that the path to net zero must be just, inclusive, and region-specific.
“Against this backdrop, Nigeria is forging a pragmatic and forward-looking path, recognising that for Africa, climate action must be intrinsically linked with development and universal energy access,” Komolafe said.
He explained how the 57 PPL awarded in 2022, the 2022 mini-bid round, and the 2024 licensing round have reshaped Nigeria’s energy landscape.
He said, “Each of these awards and rounds was conducted with unprecedented transparency, unmatched competitiveness, and remarkable investor engagement.
“Collectively, they have repositioned Nigeria as a prime destination for oil and gas investment while reaffirming our commitment to global standards of excellence, innovation, and partnership.
“Our oil and gas sector has seen a significant surge in investment. New investors, empowered by clarity and quality, have entered our sector; oil and gas reserves and production have increased, while rig counts have surged from eight in 2021 to 36 currently, with projections to reach 50 by the end of the year.
“This momentum reflects a bold new chapter, one driven by ambition, resilience, and opportunity. With 210.54 trillion cubic feet of natural gas reserves, the largest in Africa, and 37.28 billion barrels of crude oil reserves, Nigeria holds enormous reserves.”
He said these were achieved with the help of the Petroleum Industry Act, 2021, which brought certainty to the industry and high-quality geological and technical data.
The NUPRC boss disclosed that the national production target is 3 million barrels per day, adding that achieving this requires continuous investment to unlock new basins and mature frontier fields to secure future energy needs that will match the country’s growing population.
Komolafe said the NUPRC embarked on one of Africa’s most ambitious data acquisition and reprocessing campaigns, acquiring over 11,000 square kilometres of 3D seismic data as part of the broader 56,000 sq km Awalé Project.
