Africa Oil and Gas Pipelines Industry Is Anticipated To Witness Significant Growth By 2020: Hexa Reports

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Lack of refining capacity, operational and maintenance problems, corruption, and theft, can also hinder market growth. “Africa Oil and Gas Pipelines Market” is fragmented into types and regions.

Africa is one of the fastest-growing economies, owing to the oil and gas reserves found in many parts of the continent. Africa produced around 9.5 million barrels per day (bpd), in 2011. It is estimated to produce around 12 million bpd till 2020.

The Brendon J Cannon Kisii University Nairobi proposed Uganda-Kenya Crude Oil Pipeline (UK COP) across Kenya. It is one of the three new pipelines installed for liquids for the region. This is expected to impel market growth in the coming years.

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UKCOP is expected to be one of the two crude oil pipelines to be constructed in East Africa. It is likely to export crude oil from countries like Kenya, South Sudan, Ethiopia, Tanzania, and Uganda to South Asia, China, and other markets.

On the basis of types, the pipelines are split into plastic pipes, steel pipes, and others. Steel pipes accounted over 80% of the total market in 2013, making it the largest segment. This segment is further fragmented into seamless, welded, and fitting pipes.

Welded pipes are the largest segment of steel pipes. Seamless pipes are anticipated to be the fastest growing segment.

Regions of interest in the market are Libya, Angola, Nigeria, Algeria, South Sudan, Sudan, Congo (Brazzaville), Equatorial Guinea, Gabon, Egypt, Chad, Tunisia, Ivory Coast, Democratic Republic of Congo (DRC), Cameroon, and Mauritania.

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Sizable natural gas reserves have been discovered in Mozambique and Tanzania. Oil was also discovered onshore in Uganda and Kenya, in 2012.

Africa exported to around 20% of the world’s total crude oil, as it holds over 9% of the world’s proven oil reserves, in the year 2010.

Algeria is the third largest oil reserve in Africa. It is a net-exporter of petroleum products. According to Organization of the Petroleum Exporting Countries (OPEC), Algeria had a total refinery capacity of over 652,510 bpd in 2011.

The key competitors are ArcelorMittal South Africa, British Petroleum (BP) plc, Sociedade Nacional de Combustiveis de Angola (Sonangol, the national oil company), Chevron, Sinopec, and China National Offshore Oil Corporation (CNOOC).

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