Consultancy firm BMI Research anticipates a 1.7 percent drop in oil production for Angola in 2024, projecting a decrease to 1.16 million barrels per day, in contrast to a 2.5 percent expected rise in sub-Saharan Africa’s overall production.
Their report on hydrocarbon production in the region indicates an estimated 2.5 percent increase in crude and natural gas production in sub-Saharan Africa, supported by new wells in Nigeria, the onset of production in Senegal, and ongoing projects in Gabon.
While the continent’s overall production is set to increase from 4.048 million barrels per day to 4.153 million barrels in 2024, Angola is poised to witness a decline from 1.18 million barrels per day to 1.16 million barrels, highlighting the country’s struggle due to decreased investment in existing wells.
The consultancy’s analysis, released before OPEC’s decision to limit Angolan production to 1.11 million barrels per day, emphasizes Angola’s challenges in returning to pre-pandemic production levels, foreseeing a notable reduction unless larger projects, like Azule Energy’s Agogo, come online toward the end of the decade.
BMI Research also forecasts a 3.9 percent GDP growth in the region for the upcoming year, buoyed by high oil prices exceeding $80, driving economic activity in exporting nations and subsequently fuel and gas consumption.
Despite OPEC’s announcement of a global production reduction of up to one million barrels per day over the next year, Angola remains firm on its intention to produce 1.18 million barrels per day, a stance differing from the majority’s decision that set the country’s target at 1.11 million barrels per day.
