Africa will require an estimated 375 billion dollars over the next 10 to 12 years to adequately develop its upstream and midstream natural gas sector, according to new projections released by the Society of Petroleum Engineers (SPE). The announcement was made during a workshop held at the MSGBC Oil, Gas & Power 2025 conference in Dakar, highlighting the urgent financial commitments needed to meet Africa’s rising energy demand and unlock the continent’s substantial reserve base. Despite holding 8 percent of global natural gas reserves, Africa still plays a limited role in international markets due to persistent structural challenges.
Speaking at the event, Dr. Riverson Oppong, SPE’s Africa Director, emphasized that the region is becoming an increasingly significant gas market but faces considerable barriers to scaling its participation. He pointed to policy gaps, weak commercial frameworks, inadequate infrastructure and restricted financing conditions as key constraints preventing Africa from maximizing its potential. Oppong noted that several countries are now taking steps toward integrated national gas master plans, improved regulatory clarity and strengthened institutional capacity, all of which are essential to creating an environment where large-scale investment can flow.
The call for substantial investment comes during a year marked by noteworthy exploration activity across the continent. In 2025 alone, 17 high-impact wells were completed, according to SLB, the global technology firm participating in the workshop. SLB executives highlighted that global oil and gas demand is expected to grow by approximately 20 percent by 2050, heightening the need for Africa to accelerate resource development to meet both domestic and international consumption trends. Paul Freeman, SLB’s Global Exploration Advisor, stressed that rapid investment is essential to offset natural production declines and prepare for peak demand ahead.
Digital transformation emerged as a central theme throughout the discussions, with SLB outlining the significant gains Africa’s upstream sector could achieve through advanced technology. Tools such as the Internet of Things, data analytics and artificial intelligence can dramatically improve exploration accuracy, production efficiency and supply chain resilience. Larry Velasco, SLB’s Africa New Venture Manager, warned that poor data quality remains a major financial risk for energy companies, with losses estimated between 15 and 25 percent of revenue. Enhancing data integrity and enabling real-time operational decision-making were described as critical steps in improving Africa’s competitiveness.
SPE representatives also underscored the importance of collaborative technical dialogue to ensure Africa’s oil and gas industry is prepared for the next phase of development. Dr. Rose Ndong, Chair of the SPE Dakar Section, said the organization is committed to facilitating exchanges between regional and international stakeholders to strengthen expertise, share best practices and build a more resilient sector. As energy demand continues to rise and new discoveries reshape the market landscape, industry leaders stressed that the continent must act swiftly to secure the investment, innovation and institutional reforms necessary to realize its gas-driven growth prospects.
