This is a best prospect industry sector for this country. Includes a market overview and trade data.
BP and US-based Kosmos are in partnership in two fields: the Grand Tortue (GTA) and the Yakaar Teranga hub. The GTA gas field straddles the Senegal-Mauritania maritime border. The Intergovernmental Cooperation Agreement signed between BP, Kosmos, and the governments of Senegal and Mauritania provide for a 50-50 split in revenues. The Yakaar Teranga hub, further south of Saint Louis, will mainly produce gas for internal consumption. Grand Tortue holds confirmed reserves of 100 trillion cubic feet of gas. Further south near Dakar, the Sangomar oil field is being developed by Woodside, with first oil expected in 2023.
The GOS approved a new Petroleum Code in 2019 updating Senegal’s oil and gas legal framework. The law reflects the spirit of the new constitution, stipulating that the country’s natural resources belong to its people. As a result, the law’s profit-sharing mechanisms guarantee more favorable terms to the national oil company, Petrosen, including a minimum of 10 percent interest in exploration phase projects and up to 30 percent interest in development and exploitation stage projects. The code requires oil companies to source a portion of labor and materials locally and contribute to a training fund for local workers. The Senegalese Parliament has approved a law requiring local content, but the regulating decrees are yet to be promulgated.
Power Africa has also successfully provided technical assistance and capacity building to aid the nascent Senegalese gas sector.
Gas-to-Power solutions: While awaiting the new offshore gas for 2023, the GOS plans to import LNG as a bridging measure and convert all current heavy fuel plants to gas-to-power plants. Senegal’s convertible production capacity is estimated between 400 MW and 500 MW.
Gas pipelines: With a total length of about 472 kilometers, the cost of constructing the network is estimated at around $300 million and will be carried out in several successive phases. The U.S. Trade and Development Agency awarded a grant to Senegal’s sovereign wealth fund, Fonds Souverain d’Investissements Stratégiques (FONSIS), in September 2020 for a feasibility study for an onshore pipeline network to supply gas from Senegal’s offshore gas fields to its power plants.
- Helicopter services for transportation of platform personnel
- 3D seismic surveys
- LNG pipeline design and construction
- Pipe manufacturing
- Maritime dredging
- Inspection and testing
- Waste management
Ministry of Oil and Energy -
Petrosen – Senegal National Petroleum Company
Invest in Africa – Non Profit Organization supporting businesses by offering access to finance, skills and market
FONSIS – Senegal Sovereign Wealth Fund