As a future gas production zone, South Africa, Mozambique and Namibia carry the hopes of the super-majors Total, ENI and ExxonMobil. They represent a new opportunity for investors as Africa's traditional oil and gas-producing countries are increasingly struggling to maintain production.
After several recent discoveries by Shell and TotalEnergies, the Italian major ENI is working on all fronts with the Namibian authorities to invest in offshore permits. Asian companies also have an eye on the zone.
The Matola LNG import terminal project, on the outskirts of Maputo, is progressing quietly. Pretoria, which has no alternative medium-term solution for importing gas, should be the main beneficiary.
The French major has no time to lose if it is to achieve its goal of starting production on the South African offshore block by 2026-2027. There are still the rights, final investment decision, pipeline connection and numerous other administrative and logistical tasks to work out.
Drilling will take place on Block 2B, operated by Eco Atlantic during Q3 2022. A new discovery would place South Africa back at the head of the table as oil and gas leader in southern Africa.
Two environmental experts warned UKEF of the shortcomings and deficiencies of its environmental impact assessment on the giant Mozambique LNG project. UKEF ignored their recommendations.
Since the British-Dutch major's discovery on its Graff-1 well, permits immediately nearby have shot up in value.
The French major hopes its confirmation of Namibia's offshore prospects will spur the South African government into action over finalising the long-awaited Petroleum Bill.
The partners in the block, at which drilling is scheduled for the end of 2022, are relieved at the arrival of the new operator after doubts as to the financial capacity of its predecessor, Azinam.
Unlike the overwhelming majority of European banks who want to go green and are reluctant to finance oil exploration, South Africa's Standard Bank shows no sign of withdrawing from the oil and gas industry.
Taking advantage of a favourable climate and existing infrastructure in South Africa, Total is looking at the option of speeding up expansion at a reduced cost. This will depend to a large extent on a good working relationship with the state, which owns the pipeline and the GTL plant to which the French major hopes to sell its gas.
The new president has made developing the gas sector, largely ignored by her predecessor John Magufuli, a priority of her five-year term in office.
To ensure gas produced in southern Africa does not bypass the regional market altogether, the SADC secretariat would like to see the bloc members adhere to a combined strategy.
The state-owned Qatari oil company will over the next few months partner with Western majors in the drilling of wells in Angola, Namibia, and Mozambique which currently figure among Africa's best prospects for major new oil finds.
The ostensibly common interests of Mamoudzou's logistics firms have not always sufficed to secure business from Total's Cabo Delgado gas activities.
Canadian lawyer and "star" of Chadian oil business hopes to turn the Namibian desert into a new Texas.
Total is taking a harder line with the South African government as it lobbies to get the country's new oil bill onto the statute books quickly.
In a context of insecurity and low hydrocarbon prices, it remains unclear when US major ExxonMobil will finally decide to launch its giant LNG project in Mozambique, even though its Italian partner ENI is moving ahead.
Pretoria initially turned to Mozambique in its search for gas for its domestic market. But a planned pipeline between the northern Mozambican province of Cabo Delgado and Gauteng in South Africa will likely never see the light of day.
Encouraged to get cracking by the recent gas discoveries off the coast of South Africa, Total is trying to prompt fast action on sector regulations from Ramaphosa's government.
After ExxonMobil and Equinor's departure, Impact Oil & Gas plants to launch a farm-out call to find parnters to finance future work on the offshore exploration blocks Transkei & Algoa and Tugela South.
After a wait of five years, the decree providing for greater local company involvement in the oil industry is set to come into force at a difficult time, with the country still in the throes of the Covid-19 crisis.
To try to limit the impact of the recession which is looming after several months of public health crisis, the South African government is banking on the prospect of gas revenues to come and has rolled out the red carpet for Total.
French major Total is increasingly feeling the need to establish closer communications with the governing Frelimo regime.
Several majors involved in offshore exploration are impatient for the government to move forward with key legislation. Two big players have already called it a day.
Several up and coming figures within Mozambique's LNG industry recently joined the board at JFT, the consortium between JGC, Fluor and TechnipFMC.
After several set-backs, it looks like the development of the LNG trains 3 and 4 on Afungi peninsula could be near in sight.
The firm owned by the businessman Hassan El Ali recently signed a deal with Mozambique's national oil company ENH, thereby becoming one of the first Dubai-based operators to invest in the country's gas sector.
As a member of the Commonwealth, Mozambique could find itself a prime target of a post-Brexit UK in search of trade opportunities. Yet the Minister for Exports and head of UK Export Finance has found himself stuck between entrepreneurs and NGOs warning against the environmental impact of gas rigs.
The oil majors, Total, ENI and ExxonMobil, are continuing to exert pressure on the state to avoid having to meet strong local content requirements. The Ministry of Mineral Resources and Energy is to take advice from a consulting company on the subject.
Since taking over at the helm of the South African subsidiary of the French major Total in August 2018, the Nigerian Adewale Fayemi has become the leading private sector player in South Africa's oil industry.
Total's arrival in Mozambique in September 2019, which marked a high point in France's efforts to establish its presence in the southern African country, was only the cherry on the cake of a wider-ranging campaign in which French banks and companies were already heavily involved.
The South African banks RMB and Standard Bank are providing substantial financial backing for Total's Offshore Area 1 liquefied natural gas project in Mozambique with the help of experienced oil and gas financiers.
State-owned Qatar Petroleum, which has been increasingly buying into African offshore blocks, is looking to further its expansion drive in the Namibe Basin, one of American major Exxonmobil's most promising exploration zones.
US export promotion agency EximBank took seven long years to validate the financing for Total's LNG project in Mozambique. It took no account, however, of US group ExxonMobil, which is involved in Block 4. Here's why.
The suspension of operations on ExxonMobil and ENI's gas projects on Coral and Mamba will have a significant impact on the timing of drilling programmes.
Several firms involved in the gas project in northern Mozambique's Cabo Delgado are hiring staff through a London-based recruitment company. But border closures are complicating relocation.
The French major Total wants to maintain its South African offshore exploration programme at all costs but fears that the sanitary situation in the country could cause delays lasting several months.
Unlike its Anglo-Dutch counterpart Shell, French major Total has decided to maintain its offshore exploration plans for the current year.
The supermajors ExxonMobil and Total are miles apart in their thinking on how to invest in the development of the Afungi LNG park.
The three majors have been given a stiff warning over their laxist approach to the country's local content laws.
American supermajor ExxonMobil is still dragging its heels over the 15 million tonnes train facility project. Here's why.
Although its contract for block 11B/12B is already in the bag, the French major may revise its demands in light of more advantageous measures introduced by the new petroleum bill.
Ahead of their FID for two liquefaction trains in the north of Mozambique, the American major and its partners have already chosen the board members to lead the project.
Norway's BW Offshore is warming up to the idea of
Giants Total and ExxonMobil are fighting tooth and nail for control of the technical aspects of the giant LNG project.
According to our sources, the French major Total is preparing
The French major is trying to bounce off the success of its latest drill to pocket as many offshore permits as possible.
According to our sources, the head of Namibian state-run firm
American supermajor ExxonMobil is about to become the largest exploration player in Namibia thanks to its deft negotiator Patrick Howarth.
With the acquisition on February 8 of a nearly 19%
