Senegal Renegotiates Oil Contract to Boost Production

The Senegalese government has successfully renegotiated its oil contract in a bid to increase production to one hundred thousand barrels of oil per day.

This ambitious objective was discussed on Wednesday at the Palais de la République, where Bassirou Diomaye Faye met with a delegation from Woodside Energy, the Australian company operating the Sangomar oil field.

Under the terms of the revised partnership, 75% of the income generated will cover operational costs, while the remaining 25% will be shared between Senegal and Woodside Energy.

This revelation by the CEO of Woodside highlights the ongoing discussions surrounding the renegotiation of oil contracts in Senegal and aims to enhance the country’s economic prospects.

Senegal is increasingly positioning itself as an emerging player in the global oil market, with substantial reserves discovered off its coast, particularly in the Sangomar oil field. The successful renegotiation of the contract with Woodside Energy is indicative of the government’s commitment to harness these resources effectively. This move aligns with Senegal’s strategy to increase production capacity and diversify its economy, which has historically relied on agriculture and fisheries.

With the goal of ramping up production to 100,000 barrels per day, this initiative is expected to generate significant revenue for the government, facilitating investments in infrastructure, health, and education.

 

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top

WAVN