Africa's natural gas sector is attracting $250+ billion in capital investment through 2035, yet 70-85% of associated insurance premiums-approximately $1.8-2.4 billion annually-flow offshore to London, Munich, and Bermuda markets. This capital flight is ending. Nigeria enacted comprehensive insurance reform in 2025 mandating local placement. Ghana, Kenya, and Mozambique have strengthened retention requirements. South Africa is revising domiciliation thresholds.
Brent crude has slumped to $62.50 per barrel, down nearly 25% from early 2025 peaks and hovering at levels last seen in 2021. WTI trades below $60. The IEA projects oversupply of 3.1 million barrels per day in 2025 while demand growth remains anemic...
Risk Signal
Brent crude at $62.50 represents more than a pricing problem-it's a multi-line insurance stress test. African oil-dependent economies budgeted for $75-80 Brent, creating estimated $15-20 billion aggregate fiscal shortfalls across Nigeria, Angola, Gabon, and Chad. For underwriters, this triggers a cascade: political risk...
A gas field is a dormant national asset. A financial guarantee is a catalyst. When strategically connected, they form an unstoppable engine for progress.
The challenge across many African energy projects has not been potential but perceived and unmanaged risk- the factor that restricts capital inflow and delays execution.
