Sierra Leone Grants Offshore Oil and Gas Licence to Marginal Energy for 6,800 km² Block Area
Sierra Leone has granted an offshore oil and gas exploration and production licence to Nigerian-based Marginal Energy Limited, marking a significant step in the country’s efforts to attract investment into its emerging upstream petroleum sector.
The agreement was signed by the Petroleum Directorate of Sierra Leone (PDSL) and covers offshore blocks G-145, G-146, G-147, G-160, and G-161. Collectively, the licensed area spans approximately 6,800 square kilometres within Sierra Leone’s offshore basin.
Under the terms of the licence, Marginal Energy Limited will conduct extensive exploration activities, including seismic surveys and exploratory drilling, as part of a multi-phase development programme.
The company has committed to an investment programme valued at more than US$225 million.
The agreement also provides for state participation, with the Government of Sierra Leone holding a 10% carried interest in oil developments and a 5% stake in gas projects during both the exploration and production phases.
The licensing award aligns with Sierra Leone’s broader strategy to accelerate exploration activity in its frontier offshore basin.
The government is also preparing to launch a new offshore licensing round, supported by recently acquired seismic data aimed at improving subsurface understanding and attracting additional international investors.
President Julius Maada Bio said the agreement reflects the government’s commitment to the responsible development of the country’s petroleum resources, ensuring that future production contributes meaningfully to national economic growth and development.
