Angola was the second-largest total liquid fuels producer in sub-Saharan Africa, after Nigeria, in 2024 production. Angola’s economy is largely based on hydrocarbon production, making it vulnerable to crude oil price swings. Angola primarily consumes hydroelectricity and fossil fuel-derived fuel sources to meet its domestic needs for power generation.
In December 2023, Angola announced that it would leave the Organization of the Petroleum Exporting Countries (OPEC) effective January 1, 2024, following OPEC’s decision in November 2023 to reduce Angola’s crude oil production quota from its June 2023 level of 1.3 million barrels per day (b/d) to 1.1 million b/d starting in January 2024. Angola had been a member of OPEC since 2007. Angola’s exit from OPEC could provide the government more flexibility to revitalize hydrocarbon upstream development to address declining production stemming from maturing fields and a lack of upstream investment.