Senegal: Petrosen targets the IDF for Yakaar-Teranga in 2025 and explores new partnerships (AEW 2024)

The Yakaar-Teranga project and the energy potential of the MSGBC region: a unique opportunity for West Africa

The energy sector in the MSGBC region (Mauritania, Senegal, Gambia, Guinea-Bissau and Guinea-Conakry) is undergoing a major transformation, offering unprecedented investment opportunities. The Yakaar-Teranga project, located off the coast of Senegal, is at the heart of this dynamic, with a final investment decision (FID) scheduled for 2025 and production starting between 2028 and 2029. Speaking at the Invest in African Energies conference, Thierno Ly, Chief Executive Officer of Petrosen, announced that this innovative project is aimed at producing gas for the domestic market, thereby strengthening Senegal's energy security.

This project, developed in partnership with Kosmos Energy, is in the final structuring phase. Petrosen is currently looking for a new partner to add value and enable the necessary infrastructure to be developed. By the end of 2024, a third player could join the project, further consolidating this strategic initiative.

At the same time, Senegal reached an important milestone in 2024 with the start-up of the Sangomar oil field, the country's first offshore oil project. The $5.2 billion project, with a production capacity of 100,000 barrels per day, marks a turning point for the country's energy sector. According to Papa Samba Ba, Director of Hydrocarbons at the Ministry of Petroleum and Energy, "Sangomar will make it possible to provide affordable, accessible and sustainable energy to the population", a priority objective of the Senegalese government.

In Mauritania, the Greater Tortue Ahmeyim (GTA) project in collaboration with Senegal, as well as the development of the BirAllah field, promise to increase regional gas reserves. Mauritania is also proposing 15 offshore blocks by 2024, and is encouraging investment in renewable energies and mining - a structured plan to become a major player in the region.

Other countries in the region, notably Guinea-Conakry and Gambia, also offer new prospects. Guinea-Conakry is currently finalising the terms of a tender for 22 offshore blocks, which should attract international players in the sector. Lanciné Conde, Managing Director of the Société nationale des pétroles de Guinée Conakry, points out that Guinea's geographical position provides an ideal interconnection with the other nations in the MSGBC basin.

The Gambia, for its part, is banking on its A2 and A5 blocks, located near the Sangomar oil field. The Gambian government has changed its exploration strategy and is now turning to direct negotiations with investors, accelerating its entry into the regional energy arena.

International companies such as Golar LNG and Technip Energies are playing a key role in supporting these projects. Anthony Barker, Commercial Vice President of Golar LNG, highlights the flexibility of FLNG technology, while Dominique Gadelle of Technip Energies stresses the importance of solutions tailored to the diversity of reserves in the region.

Finally, the AGL Group, in partnership with local players, is helping to promote local content and build the capacity of regional businesses. Sidi Ahmed Abeidna, CEO of SOGECO SA, says that AGL's €500 million investment in 45 countries demonstrates the company's commitment to supporting the development of Africa's oil and gas industry, while promoting the integration of local skills.

The MSGBC region is thus emerging as a key area for energy development in Africa, offering promising prospects for both local and international players. Thanks to greater cooperation between governments, businesses and investors, West Africa's energy sector could well be on the threshold of a new era.