Recently, PWC released "Africa's oil and natural gas industry: we need to learn jump development". It reviewed and analyzed the performance of major oil and gas industry in Africa in 2016.
The report pointed out that in the past four years, Africa's share of global oil production has continued to decline, from 9.1% of global production to 8.6% last year. Investors hold a wait-and-see attitude, and the investment in oil exploration in Africa has fallen sharply. Take East Africa for example, the capital input for exploration has been reduced from $4 billion 700 million in 2013 to $2 billion 500 million in 2015.
It is reported that the main challenges faced by Africa's oil and gas industry are unclear regulatory framework, corruption, high taxes, high financing costs, exchange rate fluctuations, low international market oil prices and insufficient skills development, the report said.