West Africa Oil and Gas Upstream Market Size (2024 - 2029)

The West African oil and gas upstream market is projected to experience significant growth, driven by increasing production and rising crude oil prices influenced by geopolitical factors. Despite challenges such as political instability and infrastructure vandalism, which may deter investment, the market has rebounded to pre-pandemic levels. The region's offshore discoveries present promising opportunities for investment, with Nigeria leading the market due to its numerous upstream projects and restored operator confidence.

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Market Size of West Africa Oil and Gas Upstream Industry

West Africa Oil And Gas Upstream Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2019 - 2022
CAGR 6.50 %
Market Concentration High

Major Players

West Africa Oil And Gas Upstream Market Major Players

*Disclaimer: Major Players sorted in no particular order

West Africa Oil & Gas Upstream Market Analysis

The West African oil and gas upstream market is anticipated to register a CAGR of more than 6.5% during the forecast period.

The outbreak of COVID-19 negatively impacted the market. Currently, the market has reached pre-pandemic levels.

  • Factors such as the region's increasing oil and gas production and the strengthening of crude oil prices due to various geopolitical reasons are likely to drive the market during the forecast period.
  • However, political instability, coupled with vandalism of oil and gas infrastructure and theft of petroleum products, results in business losses for stakeholders, reducing the confidence to invest in oil and gas projects, which is anticipated to restrain the West African oil and gas upstream market during the forecast period.
  • Several offshore discoveries have been done in the region in recent years, which is expected to create a lucrative opportunity for oil and gas upstream companies to invest in this region.
  • Nigeria dominated the market due to a large number of upstream projects coming up in the country due to operators gaining confidence and increased production, with a rise in crude oil prices after a slump. Therefore, Nigeria is expected to dominate the market during the forecast period.

West Africa Oil & Gas Upstream Industry Segmentation

The oil and gas upstream sector includes all the steps involved, from the preliminary exploration through the extraction of the resource. Upstream companies are involved in all the life cycle stages of the oil and gas industry. The West African oil and gas upstream market is segmented by location of deployment and region. By location of deployment, the market is segmented into onshore and offshore. The report also covers the market size and forecasts for the oil and gas upstream market across major, major countries in the region. The market sizing and forecasts have been done based on volume (thousand barrels per day and million tons of oil equivalent).

Location of Deployment
Onshore
Offshore
Geography
Nigeria
Ghana
Ivory Coast
Senegal
Rest of West Africa
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West Africa Oil and Gas Upstream Market Size Summary

The West African oil and gas upstream market is poised for significant growth, driven by increasing production and favorable crude oil prices influenced by geopolitical factors. Despite the initial setbacks caused by the COVID-19 pandemic, the market has rebounded to pre-pandemic levels. However, challenges such as political instability, infrastructure vandalism, and petroleum theft pose risks to investment confidence. Offshore discoveries in recent years present lucrative opportunities for upstream companies, with Nigeria leading the market due to its numerous projects and rising production. The offshore sector, in particular, is experiencing growth, supported by government incentives and the interest of international oil and gas companies seeking new fields to replace maturing sites.

Nigeria, with its substantial proven oil and gas reserves, remains a dominant force in the region, despite economic challenges. The country is actively pursuing alternative revenue streams and aims to become an export hub, targeting markets in Asia to meet growing gas demand. Significant investments, such as the USD 5 billion commitment from the African Export-Import Bank, are expected to bolster the Nigerian upstream sector. The market is consolidated, with key players including Shell, TotalEnergies, Eni, ExxonMobil, and the Nigerian National Petroleum Corporation. Recent developments, such as Tullow Energy's plans in Ghana and TotalEnergies' production start in Nigeria, highlight ongoing efforts to expand and optimize production capabilities in the region.

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West Africa Oil and Gas Upstream Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Macro-economic Condition in the Oil and Gas Industry

    3. 1.3 Crude Oil Production and Forecast in thousand barrels per day, till 2028

    4. 1.4 Natural Gas Production and Forecast in million-ton oil equivalent, till 2028

    5. 1.5 Recent Trends and Developments

    6. 1.6 Government Policies and Regulations

    7. 1.7 Market Dynamics

      1. 1.7.1 Drivers

      2. 1.7.2 Restraints

    8. 1.8 Supply Chain Analysis

    9. 1.9 Porter's Five Forces Analysis

      1. 1.9.1 Bargaining Power of Suppliers

      2. 1.9.2 Bargaining Power of Consumers

      3. 1.9.3 Threat of New Entrants

      4. 1.9.4 Threat of Substitute Products and Services

      5. 1.9.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Location of Deployment

      1. 2.1.1 Onshore

      2. 2.1.2 Offshore

    2. 2.2 Geography

      1. 2.2.1 Nigeria

      2. 2.2.2 Ghana

      3. 2.2.3 Ivory Coast

      4. 2.2.4 Senegal

      5. 2.2.5 Rest of West Africa

West Africa Oil and Gas Upstream Market Size FAQs

The West Africa Oil and Gas Upstream Market is projected to register a CAGR of greater than 6.5% during the forecast period (2024-2029)

TotalEnergies SE, Eni SpA, Exxon Mobil Corporation, Nigerian National Petroleum Corporation and Shell Plc are the major companies operating in the West Africa Oil and Gas Upstream Market.

West Africa Oil & Gas Upstream Market Report Snapshots

West Africa Oil & Gas Upstream Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)