In order to alleviate their problems many less developed countries (LDCs) are endeavoring to develop to the full their energy resources and in particular their hydrocarbon resources. However, the development of these resources is hindered by many factors, among which are the following: badly established estimates of indigenous resources; under-exploration; lack of competent Government institutions to monitor the hydrocarbon sector; lack of local markets to exploit non-oil hydrocarbon finds; refineries which are outdated, producing the wrong product mix and where economies of scale make upgrading difficult. The purpose of this work is to examine the hydrocarbon sector in the African, Caribbean and Pacific (ACP) group of