Nairobi: Africa's natural gas production is on the rise, with several new LNG projects being initiated across the continent. Currently, North Africa produces two-thirds of the continent's gas, but the African Energy Chambers (AEC) State of African Energy 2026 Outlook projects this share to drop to 40% by 2035, as sub-Saharan output accelerates. By 2050, sub-Saharan LNG supply could quadruple, while African gas demand is expected to increase by 60%, from 55 billion cubic meters (bcm) in 2020 to 90 bcm.
According to African Press Organization, despite this growing demand, a significant portion of the gas continues to be exported due to infrastructure limitations. These limitations include inadequate pipeline networks, underdeveloped transmission systems, and insufficient processing and storage capabilities, which prevent gas from reaching domestic markets. Consequently, LNG exports remain the most viable monetization route, supported by international offtake contracts and financing structures. Financing constraints further exacerbate the challenge, as domestic infrastructure projects require patient capital, government support, and credit enhancements, which are often easier to secure for export-focused LNG developments. Addressing this imbalance will require an infrastructure-led strategy aligning production with domestic pipelines, power generation, and regional interconnections.
Recent developments suggest positive momentum toward a more integrated African gas economy. In the LNG sector, countries are constructing terminals to support domestic and regional access, including projects at Richards Bay in South Africa and the Port of Nador in Morocco. Earlier this month, Ethiopia signed a landmark agreement to advance the Gas-by-Rail Economic Corridor Initiative, a 75,000-km freight railway system designed to carry LNG to more than 40 sub-Saharan nations, providing direct pathways to high-demand markets.
Cross-border and power generation infrastructure is also expanding. Several major pipeline projects are underway, including the $25 billion Nigeria-Morocco Gas Pipeline traversing 13 West African states, the Trans-Saharan Gas Pipeline connecting Nigeria to Algeria, and the $1.5 billion Mozambique-Zambia pipeline announced in 2025. Senegal is developing a multi-phase gas network linking offshore production to power plants, industrial zones, and urban areas, while Ghana plans five multi-purpose petrochemical plants, each producing 90,000 barrels per day of chemicals such as fertilizers and lubricants to support industrial and agricultural sectors.
A continental push toward gas-to-power is increasingly evident, supported by policy reform and efforts to expand electricity access. The AEC outlook projects natural gas supplying 45% of Africa's power by 2050. Countries including Nigeria, South Africa, Angola, Senegal, Ghana, and Mozambique have integrated gas-to-power goals into national strategies, aiming to translate rising gas production into reliable electricity, cleaner cooking solutions, and broad-based economic growth.
Export projects alone will not secure Africa's energy future. Strategic investment in gas infrastructure is what will determine whether rising production translates into electricity access, industrial capacity, and economic resilience, states NJ Ayuk, Executive Chairman, AEC.
With domestic gas demand rising, infrastructure projects underway, and export markets becoming increasingly competitive, African Energy Week 2026 offers a strategic forum to reposition gas not merely as an export commodity, but as a foundation for long-term energy security, industrial development, and inclusive growth across the continent.