Africa Spent $120bn on Hydrocarbons in 2024, Nigeria Aims to Become Refining Hub — Minister

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has revealed that African countries imported hydrocarbon resources worth $120 billion in 2024. He made the disclosure during the ongoing OTL Africa Downstream Energy Week in Lagos.

Hydrocarbon resources, including crude oil, natural gas, and coal, are major sources of energy for transportation and industry. According to Lokpobiri, the high volume of imports underscores Africa’s significant energy market.

“Data shows that Africa has robust markets. By 2024, imports of hydrocarbon resources reached $120 billion, demonstrating the continent’s energy demand,” he stated.

However, Lokpobiri expressed concern over Africa’s limited refining capacity and distribution networks, noting that much of this expenditure leaves the continent. Nigeria, he said, aims to retain a portion of this value by positioning itself as a regional refining and distribution hub.

“Because we have limited refining capacity and distribution networks, most of the money still goes abroad. Our goal is to ensure Nigeria captures a greater share. The idea is to make Nigeria the refining and distribution hub for Africa. The continent is watching,” he explained.

Representing him at the event, Lagos Governor Babajide Sanwo-Olu, through Commissioner for Energy Biodun Ogunleye, praised the organisers for sustaining a platform that has shaped downstream reforms and attracted investments across Africa for nearly two decades. He highlighted Lagos’s role as a leading energy and logistics hub in sub-Saharan Africa, emphasizing the state’s commitment to expanding clean energy access through policies such as the Lagos State Electricity Policy and the Lagos Energy Transition Plan.

Adetunji Oyebanji, Chairman of the Advisory Board of OTL Africa Downstream Energy Week, called for enhanced collaboration, policy consistency, and innovation to ensure Africa’s energy sustainability and competitiveness. Speaking on the theme “Energy Sustainability: Growth Beyond Boundaries & Competition,” Oyebanji emphasized that Africa must pursue an integrated, inclusive, and forward-looking energy strategy.

He described OTL Africa as a vital platform bridging policy and practice, bringing together regulators, operators, investors, and innovators to shape the continent’s downstream energy future. “Energy sustainability is not just about preserving resources; it is about ensuring today’s growth does not compromise tomorrow’s prosperity. We must build a competitive, responsible, and adaptable energy industry,” Oyebanji said.