The Africa Energy Bank, which many people have been eagerly anticipating, is set to officially start its operations in March 2025. This announcement was made by Heineken Lokpobiri, who is the Minister of State for Petroleum Resources in Nigeria. He shared this information during the opening of a conference focused on the oil and gas industry in Sub-Saharan Africa, which was organized by the Petroleum Technology Association of Nigeria.
Lokpobiri mentioned that the building where the Africa Energy Bank will be located is almost complete, as it is currently undergoing the final touches in Abuja, Nigeria’s capital city. He highlighted that one of the biggest challenges facing Africa today is energy poverty, meaning that many people across the continent lack access to reliable energy sources.
According to Lokpobiri, the Africa Energy Bank is intended to be a solution to this problem. The bank will begin with an initial funding of about $5 billion, which will come from contributions made by various African countries as well as the Afrexim Bank, a financial institution that supports African trade. The Afrexim Bank has agreed to transfer its oil and gas portfolio to the new bank. Lokpobiri projected that in the next four to five years, the bank’s funds could grow to as much as $120 billion. He encouraged investors to support the bank, emphasizing that they are looking for sustainable investments—meaning investments that are reliable and can be maintained over time, rather than just empty promises.
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He expressed pride in the fact that the building for the Africa Energy Bank is nearly ready and described it as one of the finest buildings in Africa. Lokpobiri is optimistic that the bank will officially launch within this quarter, which means by the end of February 2025.
In his remarks, he urged local investors in the oil and gas sector to seek funding opportunities within Africa rather than looking outside the continent. He also called on African leaders to bring their investments back to the continent, particularly in the energy sector. He pointed out that with about 600 million people in Africa lacking electricity, it is crucial for the continent to address energy poverty in order to achieve industrial growth. Without industrialization, he warned, Africa risks being left behind in the global economy.
Lokpobiri stressed the importance of increasing investments in oil and gas exploration to ensure that energy is affordable for all Africans. He called for a collective effort among African nations to tackle energy challenges together. He expressed skepticism about the current global focus on energy transition, suggesting that for those in the oil and gas industry, the priority should be to drill for more oil and gas to alleviate energy poverty before shifting to alternative energy sources. He quoted a well-known phrase, “Drill, baby, drill,” to emphasize the need for immediate action to solve these pressing energy issues.
