The administration of Donald Trump can serve as a critical window for African countries, especially Nigeria, to regain nosedived investment. The African Energy Chamber, in a new analysis, noted that Nigeria’s struggle with the Petroleum Industry Act (PIA) could be overturned given the return of Trump.

This comes as the U.S. already swiftly granted re-approval of a $4.7 billion loan from the U.S. Export-Import Bank (Exim) for TotalEnergies’ liquefied natural gas (LNG) project in Mozambique, a deal that shows a significant shift in U.S.- Africa energy relations.

The decision, which the Biden administration had stalled for years, suggests a renewed willingness to engage with African energy development on commercial rather than ideological terms.

According to the African Energy Chamber (AEC), the shift presents Africa with a rare opportunity to position itself as a key player in the global energy market.

While Nigeria signed the Petroleum Industry Act (PIA) with the hope that investment would return to the oil and gas sector, the country has struggled with the Act’s implementation as investors maintained apathy with records of divestment and crumbled oil production. This has left the country in an economic crisis as debt profile, foreign exchange crisis and inflation worsened realities for Nigeria.

AEC Chairman, NJ Ayuk argues that African governments must take full advantage of the Trump moment, leveraging U.S. support to secure funding for large-scale fossil fuel projects.

In Nigeria, Shell, ExxonMobil, Eni, and other major players have substantial investment plans, but progress has been hindered by bureaucratic bottlenecks and challenges in Nigeria’s energy sector.

For instance, the Zabazaba oil field, slated for a final investment decision (FID) in 2017, remained in limbo. Other projects, such as ExxonMobil’s Bosi and Owowo West fields, Shell’s Bonga Southwest Aparo, and Eni’s Etan-Zabazaba, have seen their timelines pushed to the late 2020s or early 2030s.

For too long, the continent has faced mounting pressure from Western institutions to move away from hydrocarbons in favour of renewables. While clean energy is part of Africa’s future, Ayuk insists that fossil fuels remain the only realistic path to industrialisation and economic growth in the short to medium term.

Over the past decade, many African oil and gas projects have struggled to attract investment due to shifting global policies, regulatory bottlenecks, and security concerns.

Trump’s approach to energy, which is focused on economic pragmatism rather than environmental restrictions, provides an alternative path. The reauthorisation of the Mozambique LNG loan illustrates how quickly investment flows can resume when energy security is prioritised over climate-driven hesitations.

This, according to the AEC, should serve as a wake-up call for African leaders: under Trump, the United States is open for energy business.
One of the immediate impacts of Trump’s return is the potential revival of U.S. financing for fossil fuel projects across Africa.

Beyond major offshore oil and gas ventures, this shift could unlock capital for onshore fields, wildcat drilling in unexplored regions, and the expansion of independent and indigenous energy operators.

In countries like Nigeria, Libya and Angola, where American energy firms have historically played a significant role, renewed U.S. interest could accelerate stalled projects and boost local economies.

Ayuk said Trump’s stance on fossil fuels also raises the question of coal’s role in Africa’s energy future. The former president’s commitment to reviving the U.S. coal industry is counter to the prevailing global sentiment, but it could inspire African nations to take a more independent stance. Many African economies, including South Africa, Mozambique, and Botswana, sit on significant coal reserves but have faced international pressure to move away from the resource.

The AEC argues that African nations should resist external interference and use their coal reserves strategically to address domestic energy shortages and tap into export markets. With China continuing to expand its coal production despite global opposition, Africa has the potential to take advantage of shifting energy dynamics and reassert coal’s role in its energy mix.

Beyond coal, Ayuk said the next four years present a critical opportunity for Africa to overhaul regulatory inefficiencies that have long hindered investment in the energy sector. Bureaucratic inertia, such as the slow approval processes seen in Nigeria’s oil and gas industry, discourages foreign investors and delays much-needed development. African governments must move swiftly to simplify regulations, cut red tape, and create a more business-friendly environment if they hope to attract new energy investment under the Trump administration.

Noting that security challenges remain another significant obstacle, Ayuk said insurgencies in Mozambique’s Cabo Delgado region, Nigeria’s Niger Delta, and Libya’s unstable oil-producing areas have all contributed to declining investor confidence in Africa’s energy sector.

If African nations hope to take advantage of renewed U.S. interest, addressing these security threats must be a priority. Stabilising these regions would not only secure existing projects but also encourage the return of American firms that have withdrawn from high-risk areas in recent years.

While critics will argue that Trump’s pro-fossil fuel stance contradicts global climate goals, the AEC insists that Africa’s energy policies must be shaped by its developmental realities rather than external pressures.

The continent contributes a fraction of global carbon emissions yet suffers disproportionately from energy poverty. From the AEC’s perspective, the debate over fossil fuels in Africa is not just about emissions but also about economic survival. Fossil fuels provide a reliable path to industrialisation, electrification, and economic growth—prerequisites for lifting millions out of poverty.

The AEC argues that the push for a full transition must be gradual and balanced, allowing fossil fuels to serve as a bridge until renewable infrastructure is sufficiently developed. Trump’s indifference to international climate agreements may be controversial, but it gives African leaders the space to prioritise economic development over immediate decarbonisation.

The AEC believes that a proactive, business-oriented strategy could unlock billions in investment, revitalise struggling fossil fuel projects, and reshape the continent’s energy landscape.

However, much depends on whether African leaders seize this moment by eliminating regulatory bottlenecks, addressing security threats, and asserting their right to pursue an energy strategy that aligns with their national interests rather than external pressures.