Major international oil companies (IOCs) are reaffirming their dedication to the development of African oil and gas resources, signaling positive prospects for service providers, drilling contractors, and the wider industry. During a recent event in Nigeria, top representatives from TotalEnergies, Shell, and Chevron disclosed substantial investment plans, spanning from pioneering exploration endeavors to facilitating gas supply from mature markets. With the Invest in African Energy (IAE) forum scheduled for May in Paris, there exists a prime opportunity for investors to capitalize on this renewed commitment to advancing Africa's energy sector.

TotalEnergies, with its longstanding presence as one of Africa's key oil and gas producers, remains steadfast in its commitment to integrated energy projects covering the entire value chain. While traditionally active in the Gulf of Guinea, particularly in Nigeria, Angola, and the Republic of Congo, the company is broadening its horizons to include emerging frontiers such as Mozambique, South Africa, and Namibia. Notably, TotalEnergies recently announced intentions to revive its $20-billion Mozambique LNG project in the first quarter of 2024, alongside plans for a new LNG import terminal at the Port of Matola, with potential implications for LNG exports to South Africa upon completion.

In Namibia, where TotalEnergies allocated half of its 2023 exploration budget, the company is currently assessing its Venus-1 discovery and reported another minor hydrocarbon find at the Mangetti-1X well earlier this month. Despite industry volatility, TotalEnergies remains committed to deploying resources and technology to optimize resource utilization for the benefit of host countries, local populations, and the company itself.

Similarly, Shell, a prominent British multinational, is directing its focus towards frontier markets like Namibia, building on a series of successful discoveries in the offshore Orange Basin. Plans for drilling two additional wells are underway, alongside ongoing appraisal efforts. In more established markets like Nigeria, Shell is concentrating on its gas and deepwater assets, while actively exploring innovative technologies to streamline operations and bolster competitiveness. Noteworthy initiatives include the Bonga Main Life Extension Project aimed at prolonging the life of its Bonga FPSO, and various projects geared towards gas delivery from offshore fields.

Despite operational challenges, Shell remains committed to seeking innovative solutions to reduce costs and enhance efficiency, ensuring its sustained relevance in the dynamic oil and gas landscape. Additionally, American multinational Chevron is embracing Africa's abundant human and mineral resource potential, striving to foster mutually beneficial partnerships with local stakeholders. Through these collaborations, Chevron aims to facilitate knowledge and technology exchange, expedite resource development, and empower local service providers.

Chevron's extensive portfolio of large-scale projects underscores its significant investment in the continent, including a $1.4-billion infill drilling program in Nigeria, the inaugural LNG cargo delivery in Equatorial Guinea, and production commencement at the Lifua-A project in Angola. Furthermore, as a key shareholder in the West African Gas Pipeline, Chevron plays a pivotal role in bolstering energy security across the region, reinforcing its belief in the fundamental role of energy in driving economic development.