Equatorial Guinea: US company Searcher invests USD 60 million in offshore exploration

Faced with a sharp decline in its oil production and a persistent economic recession, Equatorial Guinea is stepping up its efforts to revitalise its hydrocarbon sector, the historic pillar of its economy. With reserves dwindling as existing wells mature, the country sees exploration of new offshore fields as a major opportunity to reverse this trend. With this in mind, vice-president Teodoro Obiang Nguema Mangue has announced a strategic partnership with the American company Searcher, which specialises in seismic studies, for an ambitious project valued at 60 million dollars.

This programme, based on 2D and 3D seismic studies, aims to map as yet unexploited areas of Equatorial Guinea's territorial waters. The aim is to identify new oil deposits that could boost production and revitalise an economy that is heavily dependent on oil revenues. According to the vice-presidency, this work will provide a better understanding of the potential of the country's oil basin, potentially paving the way for the exploitation of new offshore fields. The initiative is part of a wider government strategy to attract foreign investment and boost the sector's competitiveness.

Equatorial Guinea, once a key oil player in Central Africa, has been going through a difficult period since 2016, marked by a significant drop in its production. This decline is mainly due to the gradual exhaustion of existing wells, compounded by an accident on the Zafiro field in 2022, which dealt a heavy blow to operations. Formerly operated by ExxonMobil, this field has seen the US company gradually withdraw, giving way to GEpetrol, the national oil company. In addition, Chevron acquired two other assets at the end of 2023, consolidating its presence in the country. According to projections by the International Monetary Fund (IMF), total hydrocarbon production could fall by 50% between 2024 and 2028 if no significant action is taken.

The agreement with Searcher appears to be a concrete response to these structural challenges. By stepping up exploration in virgin areas, the government hopes not only to discover new resources, but also to restore the confidence of international investors in the country's oil potential. The seismic studies, which include an in-depth analysis of the seabed, should provide crucial data to guide future exploitation campaigns. "This project marks a turning point in our energy strategy," said an official, underlining the importance of this collaboration for long-term growth.

If the results of this research prove conclusive, Equatorial Guinea could not only stabilise its production, but also reposition its economy on the regional scene. In the meantime, the authorities remain optimistic, convinced that this partnership with Searcher will give new impetus to a sector in search of renewal.