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North Africa to become Italy’s major gas source— Eni

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Italy-based energy multinational, Eni has hinted that Northern African countries would be Italy’s main gas suppliers for the next few years.

Eni’s head of natural resources, Guido Brusco told journalists on Tuesday that the firm would invest heavily in Africa both in exploration and in new low-carbon projects.

According to Brusco, the company anticipates that Algeria and Egypt will play a larger role over the coming years in addition to Libya and many sub-Saharan nations like the Republic of Congo and Angola.

Eni is making multi-billion dollar investments in this situation to ensure exports to Italy serve the African market, and prepare to send additional gas to Europe.

“Fields are declining but 80% of global energy demand is still based on fossils, so while cleaner sources are being developed it’s necessary to manage oil and gas reduction… particularly in Africa where the population is growing and development is accelerating,” Brusco said.

Eni will invest roughly $3.5 billion over the course of four years in Egypt, where its production last year averaged 346-kilo barrels of oil equivalent per day(KBOED), Brusco said, dismissing concerns about production problems at the Zohr field.

Eni’s production in Algeria increased from 95 KBOED to over 120 KBOED this year, with the field performing better than other larger fields in Russia. The energy firm anticipates investing $8 billion in Libya, where 165 KBOED was generated last year.

With regards to sub-Saharan Africa, Brusco is focusing the Baleine project in the Ivory Coast, a flagship project for Eni that aims to build the first gas and oil field with net zero emissions on the whole continent.

“The production started last month, less than two years after the discovery, and is going very well,” he said.

Eni is the continent’s largest foreign petrol producer, with more than 90% of the fuel the company mined in 2022 sold on the African market.

Musings From Abroad

China’s Hailiang, Shinzoom to establish vehicle battery installations in Morocco

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Hailiang and Shinzoom, Chinese car battery makers, will establish two separate operations in Morocco as the country strives to adapt its burgeoning automotive sector to rising demand for electric vehicles, Moroccan officials announced on Tuesday.

Tanger Tech, the Moroccan northern industrial zone’s development authority, said Hailiang intends to establish a $450 million copper facility on a 30-hectare plot of land. Shinzoom, a subsidiary of Hunan Zhongke, plans to invest $460 million in an anode plant spanning 20 hectares, according to a statement.

In April, the Moroccan government approved Chinese electric battery company BTR New Material Group (835185.BJE)’s plans to build a factory in Tangier to manufacture crucial component cathodes.

Another Chinese firm, CNGR Advanced Material (300919.SZ), plans to develop a cathode plant in Jorf Lasfar, 100 miles south of Casablanca, where the government has set aside 283 hectares for electric battery sectors.

Last year, the Moroccan government and China’s Gotion agreed to examine establishing an electric vehicle battery plant in the country, with a potential investment of up to $6.3 billion. Last month, Industry Minister Ryad Mezzour told Reuters that the Gotion project was moving forward, with conversations over its footprint and location.

Morocco’s strategic location on the Strait of Gibraltar, free trade agreements with important EU and US markets, and existing automotive sector cluster all attract Chinese enterprises.

In 2023, the automotive sector topped Morocco’s industrial exports with $14 billion, a 27% increase. Morocco is home to Stellantis (STLAM.MI) and Renault (RENA.PA) production factories with an annual combined capacity of 700,000 automobiles, as well as a network of local suppliers.

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Musings From Abroad

Prince Harry, Meghan treated to street-style dances in Nigeria as their trip winds down

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On Sunday, Prince Harry and his wife Meghan were treated to street-style dances in Lagos, Nigeria’s commercial capital, where they announced a partnership between their Archewell Foundation and the non-profit Giants of Africa, which utilizes sports to empower young people.

The Duke and Duchess of Sussex are making their first visit to Nigeria, where they were welcomed by the country’s chief of defence staff. The couple watched basketball practice at Ilupeju Senior Grammar School on Lagos Mainland, where Harry participated in ball-bouncing drills and shot a hoop.

“What you guys are doing here at Giants of Africa is truly amazing,” he said. “The power of sport can change lives. It brings people together and creates community and there are no barriers, which is the most important thing.”

The couple watched basketball practice at Ilupeju Senior Grammar School on Lagos Mainland, and Harry stepped on the court for some ball-bouncing drills and to shoot a hoop.

Former Toronto Raptors star Masai Ujiri, president of Giants of Africa, wished Meghan a happy Mother’s Day and said his organization was uniting communities and uplifting young people through sport, especially. Archewell Foundation and Giants of Africa will construct a basketball court in Nigeria’s capital Abuja.

“Talk about full circle again – never did I think we would be able to be here all those years later supporting the expansion of this incredible organization,” she said.
Harry and Meghan were set to round off their Lagos trip by attending a reception for a local charity. The couple live in the United States with their two children after Harry gave up working as a member of the royal family in 2020.

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