Excellencies, distinguished delegates, ladies and gentlemen,

It is a pleasure to once again attend Africa Energy Week. Let me extend my sincerest thanks to the organizers and sponsors of this important event, especially NJ Ayuk, Executive Chairman of the Africa Energy Chamber, for inviting me to speak.

It is always such a pleasure to come to the beautiful city of Cape Town, a true jewel. I look forward to this event each year with anticipation and have not missed an African Energy Week in South Africa since becoming the OPEC Secretary General more than three years ago.

But my history with South Africa goes back much further. When I was responsible for international markets at Kuwait Petroleum Corporation (KPC) I negotiated the first-ever long-term contract for the supply of Kuwaiti crude oil to South Africa in 1995.

Back then, four refiners – Sapref, Natref, Calref and Engen – agreed to purchase over 100,000 barrels a day (b/d) of Kuwaiti crude. At the time, South Africa was seeking to diversify its sources of crude oil. It was a very exciting time for me and cemented my deep ties to this country.

Excellencies, ladies and gentlemen,

The past few months has seen a celebration of OPEC’s successful past and present.

Just over two weeks ago, we celebrated the Organization’s 65th anniversary. Since the seed of OPEC was planted at the historic Baghdad Conference back in September 1960, our Organization has become a respected multilateral partner and an established part of the international energy community.

Another example of high-level success was the 9th OPEC International Seminar held in early July in Vienna. It was truly a seminar for the ages, with many records broken.

Africa and African speakers also figured very prominently in our Seminar, highlighting the rising importance of this beautiful and varied continent to the world’s energy future.

I was very pleased that Jacob Mbele, Director General at the Department of Mineral Resources from the Republic of South Africa was in attendance.

NJ Ayuk was also a speaker at our Seminar and his passionate stand on having inclusive energy discussions is something that OPEC absolutely shares.

Mr. Ayuk talked about the hypocrisy of many countries in the developed world that while still funding fossil fuel projects are instructing African countries that they should not.

While acknowledging climate change, he added that wealthy nations that have benefitted from these resources need to decarbonize, while Africans need to industrialize. Simply put, they are at different stages of development, and this must be recognized.

Africa represents around 20% of the world’s population, but is responsible for only 3% of historical emissions, and it is further disproportionately affected by climate change. Thus, it is unjust to deny developing regions the right to develop and use their available energy sources. This is particularly true when so many people on the continent still lack access to modern energy.

In sub-Saharan Africa, 565 million still lack access to electricity, or 85% of the total worldwide, a figure that has risen from 50% in 2010. Globally, 2.1 billion are without access to clean cooking fuels, with sub-Saharan Africa again the hardest hit.

Developing countries are under particular stress to meet both the existing and future needs of swelling populations, while at the same time adapting to climate change and its challenges. There is no overarching solution. We must have a country-by-country approach to energy security, energy affordability and reducing emissions.

What was clear at the OPEC Seminar is that there is a growing understanding that the world cannot move forward without carrying everyone along, and taking account of national priorities, circumstances and capabilities.

This is very true for Africa.

The continent is an essential part of OPEC, with half of its Members coming from Africa: Algeria, Congo, Equatorial Guinea, Gabon, Libya and Nigeria. I am very happy to see several ministers from OPEC Member Countries in attendance today.

Today, Africa is repositioning itself in many ways in the global oil market. This applies not just to the supply side, but as an energy consumer too with a rapidly growing population and expanding industrial base. 

OPEC’s most recent World Oil Outlook, released at the OPEC Seminar, shows the continent’s crude consumption rising from 1.8 million barrels a day (mb/d) in 2024 to 4.5 mb/d by 2050.

It is also set to remain a significant supplier of crude and condensate exports, although we see the level dropping from around 5.2 mb/d to 2035, to 4.2 mb/d by 2050, given the rapidly rising domestic use.

This growth is set to be supported by an expansion in the refining base, as well as the development of local reserves.

Africa has also the potential to be a main player in the future of energy, with oil and natural gas playing a leading role. Africa has vast oil reserves, over 120 billion barrels in 2024, or about 8% of the world’s total, with OPEC countries leading the way. Gas reserves are estimated to be at over 17 trillion cubic meters in 2024, or about 8% of global proven reserves.

What is central to this is investment.

One of the biggest barriers to advancing Africa’s oil industry is financing. In this regard, collaboration with multilateral institutions, to bridge the financial gap between rich and developing nations, and between the Global North and Global South is essential, as well as South-South support.

We are also taking steps to encourage and facilitate inter-OPEC Member Country cooperation, along with non-OPEC producer collaboration under the umbrella of the Charter of Cooperation.

Excellencies, ladies and gentlemen,

I would like to also add here that OPEC is working very closely with the G20 Presidency, held by South Africa this year. Critically, this is the first time an African country has assumed this role. It is a great opportunity to highlight the developing role and influence of Africa in shaping global energy discussions.

OPEC has provided the Presidency with three detailed studies to support this work. These are:

• A study on clean cooking, analyzing LPG as a solution to secure access to clean cooking;
• A study on hydrogen, exploring its role as part of the future global energy mix, particularly in emerging markets; and
• A study on the costs of renewables, with a comparative analysis of renewable energy cost trends and affordability mechanisms.

The broad focus of these studies underscores the importance that OPEC attaches to an all-energies and all-technologies approach to the future.

It is important not to have all our eggs in one basket. We need to embrace every available energy, and be realistic about what each can offer, and develop all technologies, including Carbon Capture Utilization and Storage and Direct Air Capture to help reduce emissions.

Our Organization supports Africa’s right to socioeconomic development and poverty eradication, Africa’s right to develop and monetize its own natural resources and Africa’s right to choose its own just, equitable and inclusive future energy pathways.

I wish you all a successful conference.

Thank you.