Senegal: Minister Birame Soulèye Diop receives a delegation from Woodside for a win-win partnership for the future

Birame Souleye Diop, Minister for Energy, Oil and Mines, met with Woodside Energy executives to discuss the progress and prospects for bilateral cooperation.

On Tuesday 8 October 2024 in Dakar, Mr Birame Souleye Diop, Senegal's Minister of Energy, Oil and Mines, welcomed the Woodside Energy management team. The delegation, comprising Richard Goyder, Group Chairman, Meg O'Neil, Managing Director, and Clives Jones, Senior Vice President (SVP) of Woodside Senegal, met to discuss the progress of the collaboration between Senegal and Woodside Energy and future opportunities for the Senegalese energy sector. The meeting took place against a strategic backdrop, as Senegal, with the support of leading international partners, seeks to become a key player in the global oil and gas industry.

For several years, Senegal and Woodside Energy have been working together on major energy projects, in particular the development of the Sangomar oil and gas project. Discussions at the meeting focused on the current status of ongoing projects and the major advances made thanks to this cooperation.

The Sangomar project, one of Senegal's largest energy projects, was a key focus of the discussions. Developed in partnership with Woodside Energy, the project aims to exploit the country's vast offshore oil and gas reserves. It represents a key opportunity for Senegal to enter the world stage of hydrocarbon producers, with commercial production underway from the Sangomar project.

Woodside management reaffirmed its commitment to meeting the production targets set for the Sangomar project. Minister Birame Souleye Diop stressed the importance of this project for the Senegalese economy, which will benefit not only from the revenue generated, but also from the creation of local jobs and the development of skills in the energy sector.

In addition to assessing current projects, discussions also focused on the future prospects for cooperation between Senegal and Woodside Energy. Both parties expressed their shared ambition to strengthen their partnership to make Senegal an energy hub in West Africa.

The Energy Minister and Woodside executives explored new investment opportunities in other offshore blocks in the Senegalese basin, in addition to Sangomar. The aim is to maximise the country's energy potential while attracting more foreign investment. If these projects come to fruition, they could transform Senegal into a major energy player in the region, capable of exporting oil and gas to world markets.

The Sangomar project being developed with Woodside will have a number of positive spin-offs for the Senegalese economy. In addition to the revenues generated by hydrocarbon exports, the project will contribute to the development of key infrastructure, such as refineries, logistics terminals and the Léopold Sédar Senghor FPSO, which will strengthen the country's logistics capacity. This enhanced infrastructure will not only improve Senegal's energy self-sufficiency, but will also create long-term economic opportunities in related sectors.

One of the highlights of the meeting was the desire of both parties to promote sustainable cooperation, both economically and environmentally. Minister Birame Souleye Diop stressed the importance of integrating sustainable practices into the management of the country's natural resources, a commitment shared by Woodside Energy, which emphasised its respect for international standards in terms of environmental protection and social responsibility.

Woodside Energy is committed to working closely with the Senegalese government to promote local content development. This includes building local capacity through training, job creation and the integration of Senegalese companies into the oil and gas industry value chain. This approach aims to ensure that the benefits of exploiting the country's energy resources accrue first and foremost to the local population.

As part of their long-term commitment, the two parties also discussed ways of integrating renewable energies into the country's energy mix. Although Senegal is currently focused on exploiting its oil and gas resources, the transition to more sustainable energy sources remains a priority for the government. Woodside, with its growing expertise, could play a key role in developing projects to reduce carbon emissions while diversifying Senegal's energy sources.