Unlocking Africa's LNG Potential
Africa holds around 514 trillion cubic feet (TCF) of proven natural gas reserves, rivalling some of the world’s largest producers. Yet despite this abundance, per-capita gas consumption in Africa remains less than one quarter of the global average.
According to the African Energy Commission, Africa’s own energy use is still dominated by polluting biofuels and waste (54.4%), oil (26.3%) and coal (2.6%). Natural gas contributes only 7.4% to the continent’s domestic energy needs. Africa accounts for around 10% of worldwide LNG exports, and consumes about 4% of the world’s total natural gas itself.
This poses a conundrum. On the one hand, LNG exports generate vital export earnings and support GDP growth. On the other, there is a pressing need to expand reliable, affordable, and cleaner domestic energy solutions. As Africa undertakes its energy transition in the years ahead, LNG can play an important transitional role.
Opportunities and Challenges
Africa’s LNG potential spans both supply and demand. On the supply side, vast reserves remain underdeveloped. Countries like Mozambique, Senegal, Mauritania, and Tanzania are emerging as new LNG hubs, while others such as South Africa, Ethiopia, and Morocco account for 84% of recent reserve growth (Global Energy Monitor).
Nigeria leads the continent with 209.26 TCF of proven gas reserves (NUPRC, 2024). Yet much of this gas is not monetised. The World Bank’s Global Gas Flaring Tracker shows Nigeria flared 6.5 bcm in 2024, a 12% increase on the previous year—more than twice the global average. Eliminating routine flaring could unlock over US$1 billion annually and significantly cut emissions.
On the demand side, industrialisation, urbanisation, and population growth are driving energy needs. LNG offers solutions for power generation and industrial facilities where reliability is critical. It can replace polluting, expensive fuels like diesel and heavy fuel oil, and supply smaller users via road, rail, or river delivery to local gas networks.
However, challenges remain. Inland areas lack robust transport infrastructure, and political instability raises financing costs. Globally, competition is intensifying as new LNG supply ramps up in the US, Middle East, and Asia-Pacific. African projects must manage costs and ensure reliability to attract investment.
Stranded and Associated Gas: Unlocking Value
Stranded gas reserves—located far from pipelines or export infrastructure—are common across Africa. Associated gas, produced alongside oil, is often flared or reinjected. LNG provides a way to monetise these resources.
Floating LNG (FLNG) projects and modular liquefaction plants enable revenue generation from otherwise wasted gas. Nigeria’s first 2.8 MTPA FLNG facility is expected to start operations in 2028, while Senegal and Mauritania’s Tortue FLNG project demonstrates how offshore gas can be commercialised without large onshore plants.
Small-Scale and Modular LNG
Modular LNG facilities—typically producing less than 1 MTPA—are gaining traction. These plants can be built quickly and at lower cost, with output transported by truck, rail, or container. This model allows LNG to reach inland industrial sites, mining operations, and power plants that currently rely on diesel.
In East Africa, modular plants handling 20–30 million standard cubic feet per day use a “virtual pipeline” approach: gas is liquefied on site, loaded into cryogenic containers, and transported by road to regasification units near end-users. This flexibility reduces reliance on fixed pipelines and accelerates market access.
With global gas flaring reaching 162 bcm in 2024—almost equal to Africa’s annual gas consumption—converting stranded and associated gas into LNG offers both economic and environmental benefits.
Africa’s LNG Transition
Most African countries rely on imported liquid fuels like diesel and heavy fuel oil—costly and emissions-intensive. LNG provides a cheaper, cleaner alternative, producing fewer pollutants and improving energy security.
LNG also supports renewable integration. Africa has world-class solar and wind potential, but these sources are intermittent. Natural gas offers a flexible backup to stabilise grids and ensure consistent supply. By leveraging LNG, African economies can reduce emissions while building infrastructure for a sustainable energy future.
KBR Case in Point
KBR has been a pioneer in Africa’s LNG sector. The company has supported projects at Bonny Island, Nigeria, for over 30 years, delivering EPC services for six LNG trains between 1999 and 2007. In 2018, KBR was selected for FEED on Train 7, adding 8 MTPA of capacity and raising NLNG’s total output to 30 MTPA.
KBR also played a key role in the Greater Tortue Ahmeyim FLNG project on the Senegal-Mauritania maritime border—one of the world’s first deepwater FLNG developments. Since 2017, KBR has delivered pre-FEED, FEED, and EPCM services for Phase 1 infrastructure, integrating hub facilities and utilities.
Today, KBR continues to support LNG projects across Africa, including small-scale modular designs for associated gas monetisation.
Overcoming Obstacles
Developing LNG in Africa differs from mature markets. Permitting can be slow, logistics networks underdeveloped, and skilled labour scarce. Political instability and security risks further complicate financing.
Modularisation helps mitigate these risks by enabling phased development with lower upfront costs and faster revenue generation. Repeatable designs can be relocated for shorter-life sites, offering flexibility. Building local workforce capability and resilient supply chains is also critical for long-term success.
LNG’s Role in Africa’s Future
Africa’s LNG sector is at a turning point. With vast reserves, new projects in Mozambique, Senegal, Mauritania, and Nigeria, and growing export potential, LNG can drive economic growth while meeting domestic energy needs.
Success will depend on a balanced approach: combining large-scale export hubs with flexible, modular solutions tailored to local demand. Done right, LNG will not only boost trade but also accelerate Africa’s energy transition.
About the Author
Keren Hall is a Principal Process Consultant at KBR with over 25 years’ experience in LNG technologies, including liquefaction, regasification, storage, and loading systems. She has led major capital projects globally and specialises in LNG and hydrogen infrastructure development.
