Oliver Quinn, CCO of Canadian oil and gas company Africa Oil Corp., has said that Namibia is a world-class hydrocarbon province, which is encouraging despite its early days.
Speaking at an Invest in African Energy reception in London recently, Quinn further emphasised the need for this industry to benefit locals.
“There’s a fantastic opportunity to build a big economy that’s good for people and develops local content,” said the executive for Africa Oil Corp which holds a stake in the Venus discovery in Namibia’s Orange Basin.
The reception affirmed rising interest in Africa’s energy resources, uniting interested investors from the UK, US, Europe, and global markets to access and engage with Africa’s energy prospects, as well as unpacking the latest project developments across the continent. Moderated by Susan D. Maples, Partner at international law firm Curtis, Mallet-Prevost, Colt & Mosle, a dynamic panel discussion targeted where investors should direct their attention.
“South Africa also has a big chunk of the Orange Basin, which has yet to be drilled, but there are plans to do so in the coming future… Nigeria has introduced a new petroleum act, which reflects what’s required for the energy transition as well as attractive and stable fiscal terms. It has a very effective sector and a significant resource base left to go,” continued Quinn.
Key exploration hotspots were highlighted across the continent, with a focus on southern and western Africa. High unmet regional energy demand, coupled with untapped hydrocarbon resources, competitive fiscal terms, and an enabling environment, have made these markets attractive destinations for global capital, technology, and expertise.
“By all metrics, there is an outrageous imbalance between Africa’s reality and potential and its perception in and outside of the continent,” said Paul Eardley-Taylor, Oil and Gas Sector Coverage, Standard Bank. “In most African countries where Standard Bank is present, the market’s banking limit is about US$300 million for any given project. This means that, other than South Africa and Nigeria, all large oil and gas projects need funding from multiple sources.”
Contractual stability and sanctity, as well as built-in local content development that stimulates job creation and allocates funds to local businesses and contractors, were also identified as critical factors in Africa’s future energy sector growth.
“[Liberia] is stable, we have a fast-tracked code for corruption, and the time limit to process everything is short—we call it a ‘one-stop shop.’ Now is the time to invest,” said Marilyn T. Logan, LPRA Director General.