Senegal Opens 104 Oil, Gas Blocks to Investors, Seeks New Deals
Senegal has opened 104 oil and gas blocks to investors and is seeking new exploration and production agreements to accelerate development of its petroleum resources.
El Hadji Abdourahmane Diouf, Minister of Energy and Petroleum, disclosed this at African Energy Week (AEW) 2026 in Cape Town, saying the country was ready to work with international and regional operators.
“We hope to sign a number of contracts,” Diouf said, adding that Senegal wanted to reassure investors that it remained “open, hospitable and respectful of international procedures.”
Senegal reorganised its upstream acreage into 113 blocks in March 2026, comprising 65 onshore and 48 offshore. Four blocks are currently under contract, while five offshore blocks have been allocated to Italian energy company Eni for studies, leaving 104 available for potential investment.
Beyond exploration, the government is seeking partners to develop the Yakaar-Teranga gas project alongside national oil company Petrosen, which took full control after Kosmos Energy withdrew in April 2026.
Diouf said the project was expected to supply gas for power generation, industrial uses, including fertiliser production, and exports. However, development would require a clear investment programme, credible buyers and an effective project structure.
“Our strategy is to build the value chain from the well to the factory, with gas at the heart of our industrial ambition,” he said.
Senegal is also pursuing downstream investment through a proposed second refinery designed to process Sangomar crude. The project, estimated to cost between $2 billion and $3 billion, is expected to have a capacity of four million tonnes annually.
The Société Africaine de Raffinage (SAR) and Turkey’s Yamata signed a memorandum of understanding for the refinery in New York on September 23, 2026.
According to Diouf, the project could create additional investment opportunities in storage, logistics, distribution and petrochemicals.
He urged prospective investors to review available geological data, engage the country’s technical teams and submit proposals backed by the financial capacity and expertise required to execute projects.
He also stressed the importance of involving Senegalese companies and workers from the outset, with support from the national local content monitoring committee.
“Capital must earn a return. Senegal must gain a stronger economy. The partnership we seek must serve both purposes,” he said.
Diouf further expressed Senegal’s ambition to expand the MSGBC regional energy alliance beyond its five member countries—Mauritania, Senegal, The Gambia, Guinea-Bissau and Guinea—as the country seeks stronger regional cooperation to develop oil and gas resources.
The government’s strategy combines new acreage, gas development and refining capacity to attract capital, expand domestic industrial activity and increase the economic benefits of its petroleum resources.
