Abuja: The Association of Petroleum Producers’ Organisation (APPO) has announced that the African Energy Bank (AEB) is set to raise approximately $15 billion by 2030 to fund oil and gas projects across Africa.
According to News Agency of Nigeria, APPO Secretary-General Farid Ghezali made this disclosure at the official opening of the 2026 Nigeria International Energy Summit (NIES) held at the State House in Abuja. Ghezali stated that the bank, which is scheduled to commence full operations in June in Abuja, aims to create over 500,000 direct jobs within the local midstream sector.
The African Energy Bank, a collaborative initiative between APPO member states and the African Export-Import Bank (Afreximbank), was established with an initial capital of five billion dollars. Its primary mission is to mobilize domestic and regional capital for energy infrastructure, thereby reducing Africa’s dependence on external financing and aligning energy investments with the continent’s long-term development and industrial
ization objectives.
Ghezali highlighted that the AEB would standardize intra-African pricing for gas and oil, enabling member countries to achieve savings of up to 30 percent on their energy imports, which could result in a potential gain of 1.4 billion dollars for Africa. He further noted that despite Africa’s vast potential, the continent faces a paradox of exporting around 70 percent of its crude oil and 45 percent of its natural gas, resulting in an annual loss of 15 billion dollars.
The APPO Secretary-General identified financing as a major barrier to the development of Africa’s strategic projects, with over 150 essential projects, including refineries and pipelines like the Ajeokuta-Kaduna-Kano (AKK) pipeline, facing obstacles. To rectify this situation, the African Energy Bank is designed to unlock the 200 billion needed for midstream-downstream projects across the continent by 2030.
Ghezali also revealed that the African Energy Bank would facilitate the listing of shares of national oil companies a
nd flagship projects like the Dangote Refinery or the AKK Gas Pipeline. It is intended to connect Africa’s certified projects to global sovereign wealth and capital markets through structured equipment and public-private partnerships.
In his remarks, Adegbite Falade, Chairman of the Independent Petroleum Producers Group (IPPG), emphasized the need for Nigeria to develop a self-sustaining energy industry that delivers enduring value to Nigerians through collaboration and consolidation. He argued that the future of the industry lies not in the mere extraction and export of raw hydrocarbons but in creating in-country value that drives economic growth and contributes to the Gross Domestic Product (GDP).
Falade highlighted the progress made since the 2025 summit in Nigeria’s oil and gas industry, noting significant advances across the value chain, including increased liquid and gas production. He pointed out that indigenous producers and independents now account for more than 50 percent of national production, s
upported by improved export pipeline availability and reduced crude losses.
However, Falade urged the Federal Government to foster an industry environment conducive to private capital investment, highlighting the necessity of reducing bureaucracy and streamlining industry fees to maintain competitiveness. He stressed the importance of addressing access to long-term affordable capital and ensuring policy stability with competitive fiscal frameworks to promote resource monetization and interest rate growth.