Page 9 - AfrOil Week 21 2022

AfrOil PERFORMANCE AfrOil

Gabon is currently the eighth-largest producer sector, including the avoidance of pre-financing
of oil in sub-Saharan Africa with a production of operations linked to future government reve-
198,000 barrels per day (bpd) with the industry nues, would greatly facilitate liquidity and public
fuelling 45% of the economy. financial management,” he said.
In the extractive sector, governance efforts Gabonese authorities and the IMF mission
should continue to ensure that all of the govern- further agreed on the need to protect the vul-
ment’s oil resources are transferred to the Treas- nerable from the increase in oil and food prices
ury Single Account at the Bank of Central Africa caused, in particular, by the war in Ukraine.
States, Loko said. “In this regard, IMF staff encourages the
“Greater transparency in the oil sector is authorities to continue subsidizing only the
needed for assessing the costs of oil production pump prices of kerosene and butane, the two
and cross debt between the government, public products most widely consumed by the most
enterprises and oil companies, including offset- disadvantaged segments of the population. In
ting of VAT credits,” Loko said. this context, strengthened social protection for
“The improvement of governance in the oil the most vulnerable is necessary,” Loko said. ™

POLICY
German, Senegalese leaders focus on gas

projects, co-operation at meeting in Dakar

SENEGAL NATURAL gas projects were among the key year (tpy) of LNG.
items on the agenda at a meeting between Ger- The West African state should also see
man Chancellor Olaf Scholz and Senegalese oil production begin next year at the Sango-
President Macky Sall at the weekend. mar block, where development is being led
Scholz, who kicked off his first state visit by Woodside Energy (Australia). The block
to Africa on Sunday, May 22, stated that Ger- encompasses three separate fields – Rufisque,
many was very keen on working with Senegal to Sangomar Offshore and Sangomar Deep Off-
develop local gas fields, produce LNG and make shore. Oil was discovered there in 2014, and
use of renewable energy resources. “It is a mat- Woodside estimates that the offshore licence
ter worth pursuing intensively,” he said at a press area contains 645mn barrels of oil equivalent in
conference with Sall in Dakar. recoverable reserves, including 485mn barrels of
The German chancellor did not say whether crude oil and 160mn boe of natural gas. ™
his government was interested in any particu-
lar projects. However, he commented that both
Berlin and Dakar had an interest in expanding
co-operation on this front. This appears to have
been a reference to Germany’s hope – and, more
broadly, the EU’s hope – of reducing dependence
on Russian crude oil and natural gas imports.
Sall, for his part, indicated that his govern-
ment was ready to work with Germany on
several fronts to promote co-operation in the
gas arena. With regard to exploration, project
financing and other matters, he said: “all that is
open, and we are keen to work with Germany in
this context.”
Senegal is not currently a producer of oil or
gas. However, it has found both types of hydro-
carbons in its offshore zone, and it is gearing up
to begin production next year at the Greater
Tortue/Ahmeyim gas field, block, which strad-
dles the maritime border with Mauritania. GTA,
which is believed to hold some 15 trillion cubic
feet (425bn cubic metres) of natural gas, is being
developed by BP (UK) and Kosmos Energy
(US). It will support a floating LNG (FLNG)
unit capable of turning out 2.5mn tonnes per Scholz showed interest in the GTA gas and FLNG project (Image: Kosmos Energy)

Week 21 25•May•2022 www. NEWSBASE .com P9