(Agence Ecofin) – In 2025, Senegal should reach a new level on the regional and international energy scene as the country gradually advances towards the exploitation of its oil and gas deposits.
In Senegal, the year 2025 could be marked by the making of the final investment decision (FID) concerning the Yakaar-Teranga offshore project. Tuesday, November 5, Thierno Ly, CEO of Petrosen, the public company responsible for hydrocarbons, confirmed this perspective. “Yes, our goal is to reach this final investment decision by mid-2025, if all goes well,” the official said.
If the latter remains cautious in its projections, it is because this strategic project for Senegal’s energy policy is not immune to a new setback. Indeed, BP, the site’s previous operator, withdrew at the end of 2023 in favor of Kosmos Energy.
This withdrawal, which occurred when the FID was expected this year, has somewhat delayed the plans of stakeholders regarding the development of Yakaar-Teranga. The evolution of the project is now linked to the commitment of new partners.
After acquiring a 60% stake from BP, thus bringing its total interests to 75%, compared to 10% for Petrosen which has agreed to increase its shares as well, the stakeholders are aiming in the short term to conclude a contract of amodiation.
Significant economic potential for Senegal
If this prospect materializes, work towards the monetization of Yakaar-Teranga, planned for 2026, could accelerate. This would ultimately allow the exploitation of some 25 trillion cubic feet (Tcf) of gas for an investment of 5 to 6 billion dollars.
Yakaar-Teranga, like its GTA counterpart and especially the already operational Sangomar oil project, should contribute to Senegal’s economic growth over the coming years. The International Monetary Fund (IMF) envisages this at around 10.1% in 2025.
According to data from Global Data, exploitation of the Yakaar-Teranga gas field will continue until the field reaches its economic limit in 2055, after an expected peak in 2029.
Abdel-Latif Boureima
Read also:
05/11/2024 – Senegal: economic growth of 10% expected in 2025, thanks to hydrocarbons
08/11/2023 – Senegal: Kosmos Energy acquires additional interests in Yakaar-Teranga
