
SENEGAL: Senegal is on the cusp of a new era in its energy industry, with the first production from the country’s inaugural offshore oil development expected to commence in the coming days.
The Sangomar oilfield, operated by national oil company (NOC) Petrosen, will produce 100,000 barrels per day (bpd) once online, marking a significant milestone for the West African nation.
Speaking at the Invest in African Energy Forum in Paris, Thierno Seydou Ly, Director General of Petrosen, expressed excitement about the imminent start of production.
“We started development in 2020, and today, we are around 97 per cent complete. We expect first oil in the coming days. This will be a big milestone for Senegal and will change the industry in Senegal,” he said.
Ly highlighted the project’s potential for future growth, stating: “Our objective is to produce 100,000 bpd from this project, and maybe in a few years, we will start to monetise the associated gas for the local market, producing LPG and gas-to-power.”
The Sangomar development represents just one of several projects advancing in Senegal’s burgeoning oil and gas sector.
The first phase of the offshore Greater Tortue Ahmeyim (GTA) project, set to produce 2.3 million tonnes per annum (mtpa) of liquefied natural gas (LNG), is also expected to come online later this year.
“We started the development of GTA in 2019, and today, we expect first gas by Q3/Q4, 2024. The concept of the project is to produce LNG for export.
“We also have some provision for gas to use in the domestic market in order to implement our gas-to-power strategy. We aim to produce 10 mtpa by 2030/2032,” Ly added.
As Senegal’s oil and gas market develops, the country stands to gain strategic insight from regional neighbours like Equatorial Guinea, which has successfully developed both a domestic and regional natural gas network through its Gas Mega Hub initiative.
Equatorial Guinea currently faces declining output from mature fields, highlighting the need for marginal field development and continuous exploration.
Trident Energy, with 11 producing assets in Equatorial Guinea, is prioritising exploration to mitigate this decline.
The company is set to commence a drilling campaign on Block G, comprising the Ceiba Field and Okume Complex, in the coming weeks.
“We always find ways to create potential reserves – last year we expanded the [Block G] licence to 2040. In exchange for that, we committed to a deepwater drilling campaign that will start next month,” said Trident Energy CEO Jean Michel-Jacoulot, who believes Senegal should gain insight from this approach by prioritising exploration to mitigate potential production declines.
Regional collaboration will not only serve to strengthen Senegal’s oil and gas market but also benefit neighbours like Guinea-Conakry, whose industry is still in its infancy.
Mohamed Cherif, Sales Director of Guinea-Conakry’s NOC Société Nationale des Pétroles, expressed openness to energy collaboration, stating: “Guinea has always welcomed investors, and the enthusiasm for petroleum research has always been incredible.
“The country is open to energy collaboration, and why not collaborate with Senegal? We have a very attractive petroleum code, attractive fiscal terms, and we will organise a bid round for 27 blocks in the coming months.”
With the imminent start of production from the Sangomar oilfield and a string of upcoming projects, Senegal is poised to become a significant player in the region’s energy landscape, fostering collaboration and leveraging insights from established producers like Equatorial Guinea.