BRAZZAVILLE, March 28, 2025 — Ahead of its H1 2025 launch, the Africa Energy Bank – developed jointly by Afreximbank and the African Petroleum Producers Organisation [APPO], is positioning itself to tackle major challenges in financing, technology and market reliability to accelerate Africa’s oil and gas sector development.
Speaking at the Congo Energy & Investment Forum in Brazzaville, Dr. Omar Farouk Ibrahim, Secretary General of APPO, reaffirmed the launch timeframe and underscored the urgency of establishing the bank to address the continent’s energy needs.
“We should not rest and wait for other countries to develop our own projects,” he said, adding, “At APPO, we have noted three specific challenges for the African continent: finance, technology and reliable markets.”
With an initial capital of US$ 5 billion, the bank has allocated US$ 1.5 billion for APPO member countries. It will primarily finance oil and gas projects, engage in trading and manage risks. Countries such as Ghana, Nigeria and Angola have already expressed support for the bank’s objectives. The Republic of Congo has acquired US$ 83.33 million in shares, reinforcing its commitment to the bank’s mission.
Tanzania LNG
Meanwhile, Tanzania Tanzania Liquefied Natural Gas [LNG] project aims to reach a final investment decision in 2028. Representing the largest gas project in Eastern and Southern Africa, the project will position Tanzania as a major LNG exporter, monetizing 16 trillion cubic feet [tcf] of gas resources within the Shell-operated Blocks 1 and 4 and 20 tcf in the Equinor-operated Block 2.
The Tanzanian government is currently revising terms of a Host Government Agreement – initially reached in 2023 – with energy majors Shell, Equinor and ExxonMobil. Discussions are set to conclude by June 2025. Despite project delays, in 2024, Equinor affirmed its commitment to the US$ 42 billion project, citing a need to reach mutually-beneficial commercial terms. Following the conclusion of these talks, the project developers will move forward with the development, engaging financiers to expedite the project’s progress.
Tanzania LNG will not only position the country as an LNG exporter, but also help monetise future discoveries offshore. Currently, the country is preparing to launch an international licensing round, with 26 blocks initially allocated for tender. At present, CNOOC is leading exploration, conducting seismic surveys in deepwater blocks near previously-discovered acreage. Fresh investment will bolster Tanzania’s gas production, consolidating the region’s position as an energy producer.
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