Senegal’s Petrosen Launches $100 Million Onshore Oil and Gas Exploration Campaign After Licence Revocations
Petrosen, Senegal’s state-owned oil company, will invest at least $100 million this year to accelerate onshore oil and gas exploration, targeting new crude discoveries in underdeveloped inland basins.
The programme follows regulatory reforms and the revocation of licences from operators that failed to advance seismic surveys or drilling activities.
The government has signalled a tougher stance on inactive acreage as it seeks to fast-track resource development.
Building on Offshore Momentum
Senegal has recently emerged as a hydrocarbon producer, driven by major offshore projects including the Greater Tortue Ahmeyim (GTA) gas development led by BP and the Sangomar oil project operated by Woodside Energy Group.
These projects have anchored Senegal’s entry into the global oil and liquefied natural gas (LNG) markets, despite the country’s relatively modest proven oil reserves of about 1.03 billion barrels.
In addition, Senegal holds an estimated 450 billion cubic feet of natural gas reserves, supporting ambitions to expand LNG exports and domestic gas-to-power generation.
Petrosen Chief Executive Alioune Gueye said offshore discoveries strengthen the case for inland exploration. “We are investing at least $100 million to jump-start onshore exploration. Given the discoveries offshore, there is strong geological reasoning to expect similar potential onshore,” he said.
Licence Clean-Up and Policy Shift
The onshore push follows the withdrawal of permits from companies that failed to meet work commitments.
Energy Minister Birame Souleye Diop confirmed that licences were revoked from operators, including Oranto Petroleum, after limited progress on agreed exploration programmes despite deadline extensions.
The government’s revised approach is intended to ensure that acreage is actively explored and aligned with national development priorities.
BP’s Exit from Yakaar-Teranga
The exploration drive also comes after BP’s 2023 exit from the Yakaar Teranga gas project following disagreements over gas monetisation strategy.
BP had proposed exporting gas, while Senegal prioritised domestic supply to support its gas-to-power plan aimed at reducing electricity costs and improving access.
Following BP’s withdrawal, Kosmos Energy increased its stake in Yakaar Teranga from 30% to 90%. BP, however, remains active in Senegal through its leadership role in the GTA project, which began exporting LNG cargoes in early 2025.
Meanwhile, Woodside commenced oil production at Sangomar in 2024, although both flagship offshore projects experienced schedule delays before reaching operational status.
Strategic Expansion
Petrosen hopes to secure a significant onshore discovery by year end, positioning Senegal for a second wave of upstream growth.
By pairing offshore production with renewed inland exploration, the country aims to expand its hydrocarbon base, strengthen energy security and consolidate its standing as an emerging oil and gas hub in West Africa.
