African Petroleum Producers Organization to Drive a Multi-Stakeholder Approach, Integration, Collaboration and Oil’s Future at African Energy Week in Cape Town

During a working visit to the Republic of Congo, the African Energy Chamber (AEC) ( met with H.E. Dr. Omar Farouk Ibrahim, Secretary General of the African Petroleum Producers Organization (APPO), in a move to strengthen ties between the oil and gas private sector and APPO.

Both parties believe in the role of hydrocarbons in Africa’s energy future and aims to emphasize the value of the oil and gas sector at African Energy Week (AEW) 2021 in Cape Town on the 9th-12th of November. In line with this objective, and with an agenda to improve the African oil and gas industry through multi-stakeholder collaboration, synchronized policies and reduced red tape, the APPO has emphasized their support for AEW 2021.

AEW 2021 is honored to host APPO and the Secretary General, H.E. Dr. Omar Farouk Ibrahim, as the keynote speaker in Cape Town and is dedicated to driving a strong Africa-focused narrative on Africa’s energy future. Representing one of Africa’s most influential oil and gas organizations, that believes in using petroleum as a catalyst for continent wide socio-economic growth, APPO will promote oil’s future in Africa and where Africa stands on energy transition, demonstrating the value of the resource in alleviating poverty and spurring economic development.

Africa is considered the final true frontier for African exploration in which significant untapped reserves have the potential to rapidly increase energy access and economic development whilst alleviating poverty by 2030. Despite the potential of renewable energies, the resource alone cannot sufficiently meet Africa’s growing demand. Both the AEC and the APPO firmly believe in the role that oil and gas have to play in Africa and aim to drive investment and associated development in order for the continent to realize its economic development goals. In pursuit of this, the APPO has reaffirmed their support for AEW 2021 – as Africa’s premier energy event – and is focused on improving Africa’s oil and gas sector.

With a mission to promote cooperation in the field of hydrocarbons across Member Countries and other global institutions to foster fruitful collaboration and partnerships, the APPO will promote the value of a multi-stakeholder approach to developing the African energy sector. Specifically, the APPO aims to emphasize the value of private sector participation in hydrocarbons, with public-private partnerships and sector integration serving as a key driver of growth. As the African energy sector navigates through a reduced capital expenditure climate – specifically with regards to hydrocarbon investments due to the pandemic and global climate agenda -, the APPO contends that with its financial advantage, private sector participation can accelerate African energy growth. Accordingly, the organization is pushing for increased collaboration across the sector, motivating hydrocarbon funding in 2021 and beyond, and supporting the role of private sector companies in Africa.

However, the APPO does not negate the value of the energy transition for Africa. As the world turns its attention to renewable energy as a cleaner fuel solution in the midst of climate change, the APPO is committed to facilitating an Africa-centric transition. Rather than eliminate hydrocarbons, however, the APPO considers a gradual transition through the utilization of natural gas a more viable solution for Africa – particularly as the continent grapples with the effects of the COVID-19 pandemic and delayed socio-economic development. Therefore, the APPO will offer valuable insights into Africa’s energy transition and the role that each stakeholder in Africa has to play in ensuring an effective, and beneficial transition takes place.

“Your energy chamber will not exist without the APPO. I was so pleased to see the Lukman Centre at the APPO. We stand on the shoulder of giants and the private sector must continue working to support the work of the APPO. We are honored to be receiving support from one of Africa’s leading petroleum organizations. Dr. Omar Farouk Ibrahim gave us wise counsel on how to work and what Africa and the oil industry expects from us, and we could not be more thankful,” stated NJ Ayuk, Executive Chairman at the AEC.

“The APPO, with its dedication to Africa’s energy sector and mission to expand cooperation and partnerships, will be one of the key drivers in Africa’s energy transformation. Oil still has a place in Africa and both the AEC and the APPO are committed to making Africa’s energy sector a success. The Chamber is committed to supporting the APPO in its move to make Africa a global energy leader,” concluded Ayuk.

AEW 2021 is honored to announce a pan-African pavilion hosted by the APPO in Cape Town. The pavilion will comprise the largest at the event, covering a variety of the organizations member countries and their activities in the African energy sector. The African Petroleum Producers’ Association, adopted in Lagos on 27th January 1987, has its headquarters in Congo Brazzaville. It currently includes 18 member African countries: Egypt, Algeria, Angola, Benin, Cameroon, Republic of the Congo, Democratic Republic of the Congo, Côte d’Ivoire, Gabon, Equatorial Guinea, Libya, Nigeria, South Africa, Republic of Chad, Mauritania, Sudan, Niger, Ghana.

These countries have 125 billion barrels (2018 est.) of proven reserves, accounting for 7.7% of global reserves, and produce 7.5 million bbl./day, representing 9.3% of world production. Under their proven gas reserves of 510 trillion SCF, they represent 7.65%, of which production will be 7,556 billion SCF annually, accounting for 5.8% of global production. The Organization aims to develop cooperation among member States across the entire value chain of the petroleum industry, and help to establish projects that benefits the Organization and Member States.

With a strong cooperation-focused agenda, the APPO promotes high level partnerships, African energy development, international best practices, and effective management policies. The organization remains committed to cutting down boundaries that restrict effective development and integration. By emphasizing member countries demonstrated political will, providing solutions to reducing red tape and bureaucracy, promoting the role of the African Continental Free Trade Agreement, and showcasing the value of enabling regulation in driving investment and development, the APPO’s participation at AEW 2021 in Cape Town will be transformative for Africa’s energy sector.

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kwaku Amenorhu
Author: kwaku Amenorhu

Amenorhu kwaku is an author, internet marketer and entrepreneur. He is the founder of SuccessValley, a network community for students and aspiring entrepreneurs