India is increasingly focusing on Africa as a strategic partner in its efforts to diversify energy sources and secure future supply.

This shift in focus comes as India's crude oil imports from Russia fell to a two-year low in February 2025, prompting a push to diversify its energy sources.

India's oil imports from African nations rose dramatically to about 330,000 barrels per day (bpd) in February, more than doubling from 143,000 bpd in January.

This month, the Indian Oil Corporation (IOC) is set to receive two million barrels of Nigeria’s Okwuibome crude, alongside one million barrels each from Nigeria’s Akpo and Angola’s Mostarda fields.

India’s shift toward Africa is also being seen through its latest investments. Last month, ONGC sanctioned a $175 million loan to support the Area 1 Mozambique Project, with three Indian state-run companies holding a combined 30% stake in the project.

The project targets 75 trillion cubic feet of recoverable natural gas, with Area 1 encompassing major gas fields such as Windjammer, Barquentine, Lagosta, Camarão, Golfinho, Orca, and Atum.

In December 2024, BPCL announced plans to invest approximately $32.9 billion on its exploration and production blocks in Mozambique and Brazil, further solidifying India’s growing role in the energy landscape and showcasing its commitment to expanding energy partnerships.

In addition to fossil fuels, Indian companies are positioning themselves as key players in Africa’s energy transition to renewable sources.

Egypt is currently in discussions with Indian renewable energy company ReNew Energy to develop a $8 billion green hydrogen project in the Suez Canal Economic Zone, aiming to produce 220,000 tons of green hydrogen annually upon completion and establish Egypt as a regional clean energy hub.

The International Solar Alliance’s Global Solar Facility has received a $25 million funding boost from the Indian government. Indian financial institutions are also stepping up support.

In December 2024, the Africa Finance Corporation (AFC) secured a $300 million syndicated loan from a consortium of Indian banks to fund renewable energy projects and broader infrastructure development across the continent.