After a period of stagnation, Africa’s refinery sector is showing signs of resurgence, driven by significant capacity expansions in Nigeria, Ghana, and Angola.
Souheil Abboud, Managing Director at VFuels LLC who disclosed this in a statement on Thursday said this was a new report from Hawilti, a pan-African investment research firm.
Abdoud said the report highlighted the transformative potential of the growth, which was expected to enhance energy security and boost economic development across the region.
“The recent wave of refinery developments marks a significant shift for Africa.
“Moreover, the continued interest in modular projects in West Africa is likely to sustain capacity growth in the short and medium terms,” he said.
Abboud said the Dangote Refinery in Nigeria, one of the largest single-train refineries globally, was at the forefront of this resurgence, with a refining capacity of 650,000 barrels per day.
According to him, the recently commissioned Sentuo Oil Refinery in Ghana was also contributing to the region’s growing refining capacity.
He said the Cabinda Refinery in Angola, scheduled for commissioning later this year, would further boost the continent’s refining capacity, reducing dependence on imported fuels and supporting local economic development.
While challenges persist, including access to capital and securing crude oil feedstock, Hawilti noted that the benefits of investing in new facilities and upgrading existing infrastructure extends beyond economic gains, enhancing energy security and stabilising local markets. “This resurgence marks a significant turning point in Africa’s energy landscape, signaling a new era of growth and transformation for the continent,” he said.