August 22, 2025
Africa is set to add 1.2 million barrels per day (bpd) of new refining capacity by 2030, marking one of the fastest downstream expansions globally, according to the newly released 2025 OPEC World Oil Outlook.
This medium-term growth, led by landmark projects in Nigeria, Angola and Uganda, signals a turning point for the continent’s energy sovereignty and investment attractiveness.
Further developments include the 200,000-bpd Akwa Ibom Refinery, also in Nigeria, and Angola’s state-driven push to bring online the 200,000-bpd Lobito Refinery and 100,000-bpd Soyo Refinery by 2030.
Uganda’s refining ambitions are taking shape with a 60,000-bpd facility in Hoima, part of the country’s broader Lake Albert basin development plan.
Meanwhile, modular refinery projects in Ghana, Guinea-Conakry, the Republic of Congo and additional sites in Nigeria are enabling incremental but scalable capacity builds in markets where infrastructure and financing hurdles persist.
In North Africa, Algeria (Hassi Messaoud), Libya (Ubari) and Egypt (Soukhna) are all advancing refinery projects aimed at capturing higher margins, improving domestic supply security and reducing dependency on imports of refined petroleum products.
According to OPEC, Africa will need over $40 billion in refining investments by 2030 to meet its mid-decade objectives. Beyond 2030, the figure climbs steeply, requiring an additional $60+ billion for refinery construction, modernization and secondary processing capacity upgrades.
This opens a $100 billion investment window for project developers, institutional investors, sovereign wealth funds and energy-focused private equity. With nearly 86% of global refinery additions through 2050 concentrated in the Asia-Pacific, Africa and the Middle East, Africa is increasingly seen as a high-growth frontier.
The 2025 edition of African Energy Week (AEW): Invest in African Energies in Cape Town will provide a platform for governments, operators and financiers to align on next-phase refinery projects, policy incentives and deal pipelines.
As host countries seek to reduce costly imports and capture more value from domestic crude, AEW offers an ideal venue for matchmaking capital with opportunity.
Additionally, Africa’s rising domestic consumption of crude – forecast to reach 4.5 million bpd by 2050 from just 1.8 million bpd in 2024, further underlines the case for investing in downstream infrastructure.
This consumption shift, in turn, is expected to reduce Africa’s crude exports by over one million bpd by 2050, emphasizing a structural pivot toward internal value chains.
Africa’s medium-term refining expansion reflects both a technical development and strategic inflection point. If the continent seizes this momentum, it can move beyond being a raw crude exporter to becoming a competitive, resilient and integrated energy producer.
With $100 billion in refining investment needs projected through 2050 and billions in trade deficits to reverse, the time to bet on the African downstream sector is now.
Courtesy: APO
