Africa’s Potential is Limitless

High energy prices driving high inflation

H

AFrIcAs PotentIAL Is LIMItLess

Top 5 oil-producing countries in Africa according to BP’s Statistical Review of World Energy: The world is in the middle of the first energy crisis of the 21st century.

toP 5

1 Nigeria - 1.6M 2 Algeria - 1.4M

Nigeria’s oil production amounted to some 1.6 million barrels per day in 2021, the record low in the period under consideration. Between 1998 and 2021, figures decreased by approximately 540 thousand barrels per day. In 2021, the oil production in Algeria amounted to around 1.35 million barrels per day, a slight increase compared to the previous year. Nevertheless, between 1998 and 2021, figures decreased by over 100 million barrels per day, peaking at nearly two million barrels per day in 2007. Algeria is among Africa’s largest oil producers.

Angola’s oil production amounted to roughly 1.16 million barrels per day in 2021, a decrease of approximately 12 per cent compared to the previous year. In fact, oil production in the African country has been on a continual annual decline since 2015.

High energy prices, especially for oil, gas, and coal, are driving decades-high inflation in various countries, some of which are also experiencing energy shortages. Russia’s recent invasion of Ukraine has exacerbated the crisis, given that the country is both a major producer and exporter of oil and naturalgas. Oil production is measured in barrels per day or BPD. Most oil-producing countries produce thousands, even millions of barrels per day, with their total output often limited by market forces rather than by production capability. Last year in AFRICA, Nigeria was the leading oil producer and the largest crudeoil exporter on the continent. Algeria and Libya followed, with exports of 1.4 million and 1.3 million barrels per day. Overall, 10% of the world’s oil production came from North and West Africa in 2021. Using data from BP’s Statistical Review of World Energy, here are the top five (5) oilproducing countries in Africa based on their output measured in 2021

4 Angola - 1.2M

3 Libya - 1.3M

Libia’s oil production amounted to some 1.27 million barrels per day in 2021, up by over 840 thousand barrels per day compared to the previous year. The African country reported its lowest oil output in 2016, at around 412 thousand barrels daily.

In May 2022, the crude oil production for Egypt was around 590.17 thousand barrels per day. Though Egypt’s crude oil production fluctuated substantially in recent months, it tended to increase from June 2021 - May 2022, ending at 590.17 thousand barrels per day in May 2022.