Africa's key oil and gas producers could cut methane emissions at relatively low cost using existing technologies, with Algeria and Nigeria offering the largest opportunities for reductions, according to a new report by Carbon Limits for the Clean Air Task Force (CATF).

The study assessed Algeria, Angola, Egypt, Ghana, Libya and Nigeria, as well as several Latin American countries, using country-level marginal abatement cost curves and found that economics vary considerably depending on infrastructure, gas markets, regulations and the ability to commercialise recovered gas.

It assesses four mitigation options (leak detection and repair (LDAR), vapor recovery units (VRUs), improved flaring practices, and replacement of gas-driven pneumatic equipment). Using a bottom-up marginal abatement cost curve (MACC) approach, the analysis provides country-specific estimates of both methane emissions reduction potential and updated cost estimates that reflect the context in which companies operate, rather than aggregate global averages.

Critically, Carbon Limits says, the report finds that deploying the full portfolio of assessed mitigation measures could deliver significant reductions across all nine countries. For example, leak detection and repair programs can reduce fugitive emissions by over 1,100 kt each year at an average cost of $36/ton of methane reduced.

In several countries, quarterly LDAR can be implemented with net cost savings, when accounting for the value of saved gas. While costs are higher in countries with lower rates of gas utilisation, they remain below the low-cost threshold of $20/t CO2e.

“The technology to cut methane from oil and gas operations exists and is well understood,” said Lesley Feldman, Director of Research and Analysis for Methane Pollution Prevention at CATF.

“What this report makes clear is that technology availability alone doesn’t determine whether reductions happen. Infrastructure gaps, import barriers on equipment, and constrained access to capital can make the same mitigation measure far more expensive in one country than another. Policymakers and regulators need to understand and address those drivers if they want to accelerate deployment.”

Algeria: largest opportunity but exposed to EU rules

Algeria offers the continent's largest methane-abatement potential among the countries studied. Carbon Limits estimated sector emissions at 2,304 ktCH4, equivalent to 68.7mn tonnes of carbon dioxide equivalent, with 41% technically addressable through the technologies assessed.

Full deployment of the mitigation portfolio could reduce emissions by 935 ktCH4 annually at a net cost of about $116mn per year, falling to $78mn if all recovered gas could be marketed. Eliminating unlit flaring alone could cut emissions by around 238 ktCH4 annually.

The study noted that Algeria lacks a dedicated methane framework and warned that the extension of the EU Methane Regulation to imports from 2027 could increase pressure on the country because most of its gas exports are destined for Europe.

“Near-term priorities could focus on introducing an initial regulatory framework that targets the most cost-effective mitigation opportunities,” it said.

Nigeria: large prize supported by existing regulations

Nigeria remains one of Africa's most important methane-abatement cases because of the scale of its oil and gas industry and persistent flaring.

Carbon Limits estimated that implementing all assessed measures could reduce emissions by 533 ktCH4 annually at a total cost of around $95mn, potentially falling to about $65mn if all recovered gas were marketable.

Researchers noted that Nigeria's economics are particularly sensitive to gas monetisation because recovered gas can generate revenue while avoiding flare penalties. The report highlighted the country's relatively advanced framework, including upstream regulator NUPRC guidelines governing fugitive methane and greenhouse-gas emissions.

Libya: infrastructure and security remain barriers

Libya recorded the highest emissions coverage among the countries studied, with 962 ktCH4, or 79% of total oil and gas methane emissions, falling within the sources analysed.

Carbon Limits estimated total sector emissions at 1,221 ktCH4, equivalent to 36.4mn tonnes of carbon dioxide equivalent. The report identified security and logistical constraints, infrastructure gaps and import restrictions as obstacles to methane reduction.

Although Libya lacks a dedicated methane framework, recent regulations classify excessive flaring as a waste of national resources and restrict the practice to testing and emergency situations.

The study described this as “a step toward stronger control of methane emissions from flaring”.

Angola: commercialisation determines economics

Angola could cut methane emissions by about 198 ktCH4 annually through the technologies assessed, with net costs of around $18mn per year. Those costs could fall to approximately $6mn if all recovered upstream gas were saleable.

The report found that economics depend heavily on infrastructure and gas marketing opportunities. It assumes that all recovered midstream gas can be sold at $10/MMBtu, but only 40% of upstream gas currently reaches market.

Offshore unlit flaring represents the single largest opportunity, offering potential reductions of around 52 ktCH4 annually at a cost of about $12/tCH4.

Researchers noted that countries such as Angola, where emissions per site are relatively low, face higher average costs because fixed investments must be spread across smaller volumes.

Egypt: roadmap signals regulatory shift

Egypt's oil and gas sector emits an estimated 596 ktCH4 annually, equivalent to 17.8mn tonnes of carbon dioxide equivalent. Carbon Limits estimated that about 35% of these emissions could be abated using the technologies examined.

Full deployment would reduce emissions by about 209 ktCH4 annually at a net cost of around $17mn. Eliminating unlit flaring in onshore upstream operations provides the largest single opportunity, with potential reductions of roughly 29 ktCH4 annually.

Although methane regulation remains embedded within broader petroleum and environmental rules, the report said a recently agreed methane roadmap suggests “a potential shift” towards stronger oversight.

Ghana: carbon markets could strengthen incentives

Ghana's methane volumes are smaller in absolute terms, but half of its emissions are covered by the sources examined in the study.

Eliminating unlit flaring offers the largest individual opportunity, with reductions of around 8 ktCH4 annually at approximately $9/tCH4. Leak detection and repair programmes in the midstream segment can generate negative abatement costs because recovered gas creates net savings.

Carbon Limits said Ghana's emerging carbon-market framework could provide additional incentives.

“Looking ahead, Ghana's emerging carbon-market framework may create new incentives for methane abatement projects that deliver verified reductions beyond regulatory baselines,” the study said.

Established technologies offer large gains

The report concluded that proven technologies can deliver substantial reductions across all six African countries. Annual leak detection and repair programmes can cut emissions by around 40%, with quarterly inspections raising reductions to as much as 80%.

Vapour recovery units can eliminate roughly 95% of storage tank emissions, while replacing gas-driven pneumatic equipment with electric or air-driven systems can virtually eliminate emissions from those sources.

The authors cautioned that the estimates represent national averages rather than site-specific investment cases, and actual costs may vary significantly across operators and sites, depending on asset characteristics, operational practices, infrastructure and financing.

“Financing is a critical piece to planning methane mitigation in the oil and gas sector,” said James Turrito, Director for Oil and Gas Methane at CATF. “This report should facilitate initial discussions to better understand true project costs for mitigating methane across four cost-effective opportunities.”

The report’s findings build on and add specificity to global estimates from the IEA’s Global Methane Tracker, which finds that around 70% of methane emissions from the fossil fuel sector could be reduced with existing technology.

Having detailed, country-level data is essential to help policymakers and decision-makers prioritise the most effective methane mitigation actions, said Manon Simon, Director at Carbon Limits.

“By combining a consistent methodological approach with country-specific insights, enriched by contributions from many local stakeholders, this analysis shows that significant emissions reductions can often be achieved at relatively low cost,” Simon said.

“The challenge now is to translate these findings into action. Strengthening regulatory frameworks, improving gas infrastructure, and mobilising financing will be key to accelerating deployment and capturing these opportunities at scale.”