NJ Ayuk Hails Growing African Oil and Gas Industry

By Samuel Ouma

The African oil and gas outlook is good despite the challenges bedeviling the industry across the continent, said the African Energy Chamber Executive chairman NJ Ayuk.

Despite the crises in the oil and gas-producing nations, Mr. Ayuk highlighted that Africa continues to produce between 7.1 million and 7.3 million barrels of oil per day.

He made the remarks during an interview with CNBC Africa on the sidelines of the fourth Angola Oil and Gas Conference and Exhibition in Luanda, Angola.

The two-day summit served as a platform for discussions between regional energy leaders, national and multinational oil companies executives, and global financiers.

Ayuk advocated for the creation of a favourable environment, including the examination of fiscal policies to attract investors to the industry.

He also called for a shift to local economies, such as low-carbon extraction, to help reduce global climate change. He further proposed the initiation of new projects.

"We need to look at our fiscal policies because we compete on financing not between Angola and Mozambique, or South Africa and Nigeria, we've compete on financing with Guyana,  Brazil,  and the United Arab Emirates," said Ayuk.

At the same time, he called for the abolition of visas in Africa, a move he believed would promote trade and easy movement of goods and products. He hinted that by doing away with visas, the continent will realize the purpose of the African Continental Free Trade Area (AfCFTA).

“You must be able to travel to Africa without a visa and transport energy items because what you transport is useful,” added Ayuk.

“When young Africans can trade inside their own continent, they will not need to cross the Mediterranean or travel to Europe to find work; instead, they will find work right at home and generate additional chances.”

On eliminating energy poverty, Ayuk called for the construction of projects while urging governments to stimulate businesses by lowering tariffs and taxes.

He said there is also a need to train people to equip them with the necessary skills in the energy sector.