African National Oil Companies: Driving Growth, Partnerships, and Energy Expansion

Leading oil-producing nations in Africa are intensifying efforts to boost production, with collaborations between NOCs and International Oil Companies (IOCs) playing a pivotal role.

Africa’s National Oil Companies (NOCs) are evolving beyond their traditional role as state representatives, transforming into competitive upstream players. By restructuring their balance sheets through partial privatization, delegating regulatory responsibilities to independent entities, and actively acquiring new assets, these companies are emerging as strategic partners for international oil firms. Their increasing competitiveness is positioning them at the forefront of Africa’s energy expansion.

Increasing Oil Production Through Partnerships

Leading oil-producing nations in Africa are intensifying efforts to boost production, with collaborations between NOCs and International Oil Companies (IOCs) playing a pivotal role. In Libya, the National Oil Corporation (NOC) is working alongside IOCs such as Repsol, bp, TotalEnergies, and ConocoPhillips to ramp up output to two million barrels per day (bpd). TotalEnergies has already achieved a 20% production increase at the Waha field, while Repsol plans to drill nine new wells and Eni is set to launch four exploration projects in 2025.

Algeria’s Sonatrach is set to raise hydrocarbon production by 2.5% in 2025, leveraging foreign partnerships after revising its Hydrocarbons Law in 2029. Ongoing discussions with ExxonMobil and Chevron highlight the company’s commitment to expanding exploration and increasing output. Across the continent, these collaborations are shaping a new energy landscape where African NOCs are pivotal players in advancing oil and gas production.

Expanding Gas Monetization and LNG Production

Africa has solidified its position as a significant liquefied natural gas (LNG) producer, with NOC-IOC collaborations spearheading large-scale projects. Senegal’s Petrosen and Mauritania’s SMH have worked with bp and Kosmos Energy on the Greater Tortue Ahmeyim LNG project, which achieved its first LNG production in January 2025.

Mozambique’s Empresa Nacional de Hidrocarbonetos (ENH) has established partnerships with TotalEnergies, ExxonMobil, and Eni to develop LNG projects, including the Mozambique LNG, Rovuma LNG, and Coral South and North fields. The Coral South floating LNG platform has been operational since 2022, while ExxonMobil aims to make a final investment decision on Rovuma LNG by 2026.

Tanzania’s LNG ambitions continue to progress with the Tanzania Petroleum Development Corporation working alongside Shell and Equinor to develop resources in Blocks 1, 2, and 4. Although facing delays, stakeholders remain committed to bringing the project online. Angola’s Sonangol, in partnership with Azule Energy, Cabinda Gulf Oil Company, and TotalEnergies, is increasing LNG production. The country’s first non-associated gas project saw its offshore platform completed in February 2025, with production anticipated in early 2026.

By partnering with global operators, NOCs are not only advancing key projects but also demonstrating their increasing operational expertise and competitiveness in the global energy market.

Unlocking New Exploration & Production (E&P) Markets

A series of recent discoveries have unlocked new oil and gas opportunities across Africa. Uganda’s National Oil Company (UNOC) has increased its oil and gas budget from $120 million to $246 million for the 2024-2025 period, aiming to explore untapped regions. Working alongside TotalEnergies and CNOOC, UNOC is set to commence production at the Kingfisher and Tilenga oilfields in 2025 while conducting preliminary studies in the Moroto-Kyoga basins to identify additional reserves.

In Namibia, NAMCOR is collaborating with IOCs to achieve first oil production from the Orange Basin by 2029. Major discoveries in the Mopane and Venus fields have driven interest, with Venus targeting a final investment decision in 2026. NAMCOR also aims to secure a larger stake in future developments, increasing its participation from the current minimum of 10% to 20-30%, reflecting a broader push for greater national involvement in field development.

South Africa’s newly formed National Petroleum Company (SANPC), established in September 2024, is striving to attract investment in exploration, gas monetization, and infrastructure development. The company is working to overcome operational challenges in the Outeniqua Basin and unlock new opportunities in the Orange Basin through partnerships with foreign investors and IOCs.

Fostering Strategic Alliances at African Energy Week 2025

As Africa’s premier energy gathering, African Energy Week: Invest in African Energies serves as a key platform for fostering collaboration between NOCs and international investors. Scheduled to take place in Cape Town from September 29 to October 3, 2025, the event will provide a unique opportunity for stakeholders to engage in strategic dialogue, network, and finalize investment deals.

"African NOCs are driving the next wave of innovative oil and gas developments. By forming global partnerships and enhancing their operational efficiency, these companies are not just propelling projects forward but also reinforcing Africa’s position as a competitive energy hub," states Tomás Gerbasio, VP of Commercial and Strategic Engagement at the African Energy Chamber.

Through strategic partnerships, expanded exploration, and increased production, African NOCs are shaping the future of the continent’s energy sector, ensuring long-term sustainability and economic growth.