Africa's Petroleum Industry
Abstract
Sub-Saharan Africa, particularly West and Central Africa, has become a strategic supplier to the global and U.S. oil and gas market. Africa's importance to U.S. energy security is rising due to Africa's expanding role as an incremental supplier of oil in a tight global oil market, its relative openness to foreign investment, increasing levels of U.S. investment in crude oil and LNG production, the quality of Africa's crude oil, and its proximity to the U.S. market. Africa's expanding role as an energy supplier poses serious risks and great opportunities for its citizens. Rising wealth strains the ability of governments with historically weak capacity for governance to manage the wealth responsibly and to resist the competition for access to that wealth by existing elites. Rising production increases the competition among nations for political influence in Africa, reducing the leverage and importance of international financial institutions and some countries to promote improved governance. Today, the primary threats to Africa's energy infrastructure and production are internal -- from theft by organized crime groups, attacks from alienated populations living in producing areas, and coup attempts fostered by competing internal elites. Terrorism and external adventurism are serious potential risks -- none of the producing countries have the ability to detect and deter attacks on infrastructure. Africa's security vulnerability needs to be addressed, but as part of a broad-based effort to improve the capacity of its governments for governance. The U.S. government, other governments, and international financial institutions can best enhance global energy security by fostering Africa's political development and social stability. Any effective strategy requires money, patience, and sustained attention, a combination the United States and its partners have so far reliably failed to muster.
Document Details
- Document Type
- Technical Report
- Publication Date
- Nov 15, 2005
- Accession Number
- ADA441206
Entities
People
- David L. Goldwyn
Organizations
- National Defense University