Africa accounted for approximately 96% of Italian energy major Eni’s (BIT:ENI; NYSE:E) net global oil and gas production increase in the third quarter of 2026, as the Italian energy major works to expand offshore developments and liquefied natural gas (LNG) capacity while divesting mature assets.

Eni produced 939,000 barrels of oil equivalent per day (boepd) across North and sub-Saharan Africa during the quarter, equivalent to 51.3% of its global output of 1.829mn boepd, according to its third-quarter results published on October 23.

African production increased 8.1% from 869,000 boepd a year earlier, contributing 70,000 boepd of the 73,000-boepd net increase in group output, which rose from 1.756mn boepd. Output elsewhere rose by just 3,000 boepd on a net basis as regional gains and declines largely offset one another.

Sub-Saharan African production rose 18.5% to 403,000 boepd, accounting for most of the continent’s increase, while North African output grew 1.3% to 536,000 boepd.

The figures include Eni’s attributable production from equity-accounted joint ventures and 81,000 boepd associated with certain sanctioned JV partners. They represent reported production growth rather than the company’s adjusted underlying measure, on which Eni said group output rose 7% year on year, against reported growth of 4.2%. The company raised its 2026 underlying growth guidance to 6%–7% from 3%–4%.

The expansion has been supported by offshore project ramp-ups, particularly in West Africa. Alongside this growth, Eni is selling selected assets and minority interests in producing developments to release capital and rebalance its upstream portfolio.

West African projects drive expansion

Côte d’Ivoire has emerged as a major production centre following the rapid development of the offshore Baleine field, which began producing in 2023.

Baleine’s first two phases currently produce more than 57,000 barrels of oil per day (bpd) and 78mn cubic feet of gas daily, according to Eni’s September update.

Eni and its partners approved a final investment decision for Phase 3 in May 2026, targeting total field production of 150,000 bpd and 0.2bn cubic feet per day (bcfd) of gas. The gas is intended primarily for the domestic market. These targets represent gross field production rather than Eni’s attributable share.

In Ghana, Eni operates the Offshore Cape Three Points project, which produces oil and natural gas for domestic consumption, particularly electricity generation. Eni and its partners, Vitol and Ghana National Petroleum Corporation, are assessing further development opportunities using existing infrastructure.

The Republic of Congo is another important production and gas development centre. In February, the second phase of the Congo LNG project shipped its first cargo, bringing combined installed liquefaction capacity to approximately 3mn tonnes per annum (mtpa).

The project uses floating LNG facilities supplied by the offshore Marine XII licence. Its 3-mtpa capacity represents potential annual production rather than actual exports.

In Angola, Eni operates through Azule Energy, its equally owned joint venture with BP (LSE:BP; NYSE:BP).

Azule is ramping up production from the Agogo Integrated West Hub, where the Agogo floating production, storage and offloading vessel began operations in August 2025 and the Ndungu full-field development started production in February 2026.

Together, Agogo and Ndungu are expected to reach gross peak output of approximately 175,000 bpd. Azule holds a 36.84% interest in the development, alongside Sonangol E&P and Sinopec International. The peak figure represents total field output, not production attributable to Azule or Eni.

New investments target further production growth

Eni is also investing in projects intended to extend African production growth beyond the current development cycle.

In Angola, a June final investment decision cleared the $5.1bn Greater PAJ development, which will connect five offshore fields to a floating production, storage and offloading vessel with gross nameplate capacity of 95,000 bpd. First oil is expected in the first half of 2029.

In Mozambique, Eni is advancing the $7.2bn Coral North project after reaching a final investment decision in October 2025. The project’s hull was launched in South Korea in January 2026, with completion targeted for 2028.

Coral North is designed to provide 3.6 mtpa of liquefaction capacity, potentially increasing Mozambique’s combined LNG capacity to approximately 7 mtpa alongside Coral South, which began production in 2022.

The facilities are expected to strengthen Mozambique’s role as an LNG exporter, although actual volumes will depend on commissioning, operating performance and plant utilisation.

North Africa remains an established production base

North Africa accounted for 29.3% of Eni’s global production in the third quarter.

Egypt and Libya remain major operating centres alongside Algeria and Tunisia, with current investments focused on maintaining production, expanding gas-processing infrastructure and recovering associated gas.

On October 20, Eni announced the start-up process for the Meleiha Phase 2 project in Egypt’s Western Desert. The development includes facilities designed to process up to 0.1 bcfd of gas, supporting additional domestic supplies. The figure represents processing capacity rather than a confirmed production increase.

Egypt’s petroleum ministry has said completion of Meleiha’s second phase should support about 80mn cubic feet per day of additional gas production. Petroleum Minister Karim Badawi pressed Eni in September to accelerate development of the Denise West discovery in the Mediterranean, estimated at about 2 trillion cubic feet of gas in place, as Egyptian gas output fell to a multi-decade low.

In Libya, Eni and state-owned National Oil Corporation completed the Bouri Gas Utilisation Project on October 19, with commissioning under way.

The project is expected to recover approximately 700mn cubic metres a year, or about 1.9mn cubic metres per day, of associated gas previously flared, supporting domestic consumption and potentially increasing supplies available for export through the GreenStream pipeline to Europe.

Eni estimates the development could reduce annual carbon dioxide emissions by approximately 1.5mn tonnes once operational.

Disposals reshape African portfolio

Alongside production growth and new investment, Eni is reducing its exposure to selected mature African assets.

On October 26, the company completed the sale of its Nigerian subsidiary Agip Energy and Natural Resources (AENR) to Apex Global Energy, wholly owned by Sterling Oil Exploration and Energy Production.

AENR held a 5% interest in the Renaissance joint venture, which operates onshore and shallow-water oil and gas assets in Nigeria. The other shareholders are Renaissance Africa Energy, with 30%, TotalEnergies (EPA:TTE; NYSE:TTE), with 10%, and Nigerian National Petroleum Company Limited (NNPCL), with 55%.

The transaction’s value was not disclosed. Completed after the September 30 reporting period, it did not contribute to Eni’s third-quarter production growth.

The disposal follows Eni’s August 2024 sale of Nigerian Agip Oil Company to Nigerian energy producer Oando (NGX:OANDO; JSE:OAO). The 5% interest in the former Shell-operated SPDC joint venture, subsequently renamed Renaissance, had been excluded from that transaction and retained by Eni.

The latest sale therefore completes the disposal of a residual interest rather than representing an unrelated withdrawal from Nigeria.

Eni retains Nigerian interests in deepwater exploration and production and Nigeria LNG.

In Côte d’Ivoire, the company completed the sale of a 10% stake in Baleine to Azerbaijan’s state-owned SOCAR in September, marking SOCAR’s entry into Africa’s upstream sector, reducing its interest to 37.25%. Vitol holds 30%, Petroci 22.75% and SOCAR 10%.

The transaction forms part of Eni’s dual exploration model, under which the company develops discoveries while selling minority stakes to recover capital, reduce financial exposure and fund additional investments.

African concentration raises strategic stakes

Africa’s contribution to almost all of Eni’s net reported production growth in the third quarter highlights the continent’s importance to its upstream expansion.

The company is combining increased output from producing offshore assets with investment in new oil and LNG projects.

However, Africa’s growing share of production also makes Eni’s future upstream performance increasingly dependent on the execution of developments across the continent, as well as regulatory stability, security conditions and commodity prices.

The continent’s 51.3% share of reported production does not necessarily translate into an equivalent contribution to group earnings or cash flow, which depend on ownership structures, production costs, fiscal terms and realised prices.

See IntelliNews: Italian-led consortium wins five-year services contract for Angola’s Greater PAJ oil development
See IntelliNews: Eni seeks EPC contractors for proposed $130mn Mozambique power plant
See IntelliNews: Egypt urges Eni to accelerate development of Denise gas field
See IntelliNews: Azerbaijan’s SOCAR enters African upstream with 10% stake in Côte d’Ivoire’s Baleine project