Rwanda Set to Join Africa’s Oil-Producing Nations After Landmark Discovery
Our Correspondent | Africa Guardian
Rwanda has officially announced its first oil discovery, marking a pivotal moment in the country’s economic diversification journey. Thirteen reservoirs have been identified within Lake Kivu, a shared natural border with the Democratic Republic of Congo.
A Milestone for Economic Diversification
This discovery represents a significant shift for Rwanda, whose economy currently depends heavily on agriculture, mineral exports, and a thriving tourism sector. The newfound oil reserves align with the government’s strategic focus on expanding revenue streams through hydrocarbons and mining.
The extractive industries in Rwanda currently contribute approximately 2% to the nation’s GDP, according to the country’s statistical agency. Rwanda’s contribution to global mineral markets is already notable, with the U.S. Department of Commerce reporting the following for 2022:
- 31% of the world’s tungsten exports
- 14% of global tin exports
- 5% of global niobium, tantalum, and vanadium exports
- $555.7 million in gold exports
The discovery of oil is expected to bolster Rwanda’s standing in the global extractive industry, opening new avenues for economic growth and investment.
Rwanda’s Oil Production Prospects
Rwanda currently imports all its petroleum products due to the lack of local production. However, the recent discovery positions the nation to join the ranks of Africa’s oil producers, alongside countries like Nigeria, Algeria, and Egypt.
The Rwanda Mines, Petroleum, and Gas Board (RMB) confirmed that a 2D Seismic Survey conducted between 2021 and 2022 identified significant hydrocarbon potential in Lake Kivu. The survey revealed:
- A deep basin thickness of approximately 3.5 km with hydrocarbon occurrences.
- Thirteen structural pockets and potential drilling locations that require further exploration.
Francis Kamanzi, CEO of RMB, expressed optimism about finding additional reserves, citing significant oil discoveries in neighboring Uganda and the Democratic Republic of Congo within the Great Lakes region.
Decade-Long Exploration Bears Fruit
Rwanda has been conducting tests and exploratory digs in Lake Kivu for over a decade. With growing confidence in the potential of the Lake Kivu basin, the RMB is now inviting stakeholders to participate in further exploration, development, and eventual production of oil and gas in the region.
This development could not only transform Rwanda’s energy landscape but also position the country as a key player in Africa’s extractive sector, driving economic growth and reducing dependence on imported petroleum products.
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