Africa’s energy future is set to take center stage this November at African Energy Week (AEW) 2025 in Cape Town. The African Energy Chamber (AEC) has announced it will officially launch the State of African Energy 2026 Outlook — a comprehensive, data-driven report produced in partnership with S&P Global Commodity Insights.
More than just a policy paper, the Outlook is being positioned as a strategic roadmap for global investors, project developers, and energy stakeholders seeking to understand where the next wave of opportunities and risks lie across Africa’s dynamic energy markets.
Africa’s Oil and Gas Production Outlook
According to early insights from the AEC, the report will forecast Africa’s oil and gas output to reach 11.4 million barrels per day by 2026.
This growth will be driven by several factors:
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Deepwater projects in Nigeria and Angola
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LNG expansion in Mozambique
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Frontier exploration in Namibia and other emerging basins
For investors, this means opportunities across the entire value chain:
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Upstream exploration – early-stage acreage with favorable fiscal regimes
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Midstream infrastructure – pipelines, LNG terminals, and storage networks
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Downstream projects – refinery upgrades and regional product distribution
The report will also map expenditure forecasts, highlighting where capital inflows are expected and which projects have the highest potential for financing.
Gas, LNG, and the Energy Transition
Gas and LNG are set to form the backbone of Africa’s energy transition. With demand for cleaner fuels on the rise both regionally and globally, African producers are betting on gas as a bridge fuel toward low-carbon growth.
Countries such as Mozambique, Senegal, and Tanzania are rapidly scaling LNG projects. For investors, this signals potential in:
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Export terminals and shipping capacity
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Domestic gas-to-power projects in West and Southern Africa
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Industrial offtake including fertilizer and petrochemical plants
Moreover, governments are emphasizing gas development to achieve energy access and industrialization goals, creating a balanced opportunity for both export and local markets.
Power Generation and Renewables
The Outlook will also emphasize Africa’s growing power sector, where demand is projected to triple by 2050. This creates a vast investment gap across renewable energy, grid expansion, and hybrid energy systems.
Key areas for investors include:
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Utility-scale solar and wind projects in North and East Africa
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Mini-grid and off-grid systems for rural electrification
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Hydropower modernization in the DRC, Ethiopia, and Zambia
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Green hydrogen pilots in Namibia, Mauritania, and South Africa
As a result, Africa’s transition is not only about decarbonization — it’s about building the power backbone required for long-term economic growth.
Strategic Takeaways for Investors
For capital allocators, the State of African Energy 2026 Outlook delivers three vital takeaways:
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Data-backed confidence – The partnership with S&P Global gives the report strong analytical credibility.
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Diversification cues – Covering hydrocarbons, renewables, and infrastructure, the report promotes balanced portfolios.
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Policy alignment – AEW 2025 brings together ministers and regulators, allowing investors to align forecasts with actual policy commitments.
In addition, private equity funds, sovereign wealth funds, and institutional investors will find the report essential for calibrating their African energy exposure heading into the next decade.
Risks to Watch
While optimism runs high, investors must remain realistic about potential challenges:
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Political and regulatory volatility in certain markets
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Infrastructure gaps delaying project execution
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Community and environmental pushback
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Global price fluctuations affecting financing appetite
Therefore, investors should structure deals with robust risk-mitigation strategies and strong local partnerships.
Why AEW 2025 Matters
By launching the Outlook at African Energy Week 2025, the AEC is ensuring the findings reach Africa’s most influential audience — from ministers and financiers to global energy executives.
For investors, this is more than a report; it’s a call to action. The insights will guide dealmaking, funding priorities, and regional strategies for years to come.
The State of African Energy 2026 Outlook is set to reshape how the world views Africa’s role in global energy — as both a traditional hydrocarbon powerhouse and a key frontier in the clean-energy transition.
Africa’s energy future is no longer peripheral. It is central to the global transition.
