Poised to spearhead a new era of industry growth for Equatorial Guinea, the country’s national oil company (NOC) GEPetrol recently outlined a multi-phase development plan for the Zafiro field, located in the offshore Block B. As a result of the new plan, the company will work towards increasing the flow of production at the field, leveraging its newfound position as operator of the block to bolster production and support economic growth.
As a dedicated NOC committed to utilizing West Africa’s hydrocarbon resources to supply much-needed energy to the population of Equatorial Guinea, GEPetrol will participate as a bronze sponsor during this year’s African Energy Week (AEW): Invest in African Energy 2024 event – taking place in Cape Town from November 4-8. The event brings together global financiers, NOCs, international oil companies and African governments, setting the stage for deals to be signed and developments to kick off.
AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.
GEPetrol’s multi-phase development plan for the Zafiro field is due to begin implementation at the beginning of 2025, with the first phase involving reconnecting selected wells that were previously connected to the Zafiro Producer floating production unit. Meanwhile, implemented in parallel to the first phase, the second phase will involve cost optimization work as well as the optimization of well exploitation and production. The third phase will be implemented later in 2025 and will feature the redevelopment of the Zafiro field, with the plan for this phase currently under discussion.
GEPetrol assumed operatorship of Block B from energy supermajor ExxonMobil earlier this year following the expiration of a production sharing contract (PSC) that existed between the company and the Equatoguinean government. In April this year, GEPetrol awarded international service provider Petrofac a $350 million technical services contract, which will see the company deliver services across onshore support bases; a floating, production, storage and offloading vessel; and a platform on behalf of the NOC for five years. The contract aligns with GEPetrol’s commitment to revitalizing the Zafiro field and will support operations as the NOC aims to boost production in the country.
In addition to its multi-phase development plan, GEPetrol also recently signed PSCs with energy supermajor Chevron and the government of Equatorial Guinea outlining development plans for Blocks EG-06 and EG-11. The PSCs include provisions on minimum investments, exploration programs, sustainable development and state benefits. The contracts also signify GEPetrol and Chevron’s intent to launch a new exploration and production campaign in these blocks, which were previously held by ExxonMobil. The blocks, which are situated in proximity to the Zafiro field, are considered highly prospective and are poised to play a crucial role in reversing a decline in oil production while bolstering the exploration and production sector in Equatorial Guinea.
“GEPetrol has always served as a longstanding ally to ensuring Africans benefit from African resources. The company’s transformation into a competitive operator – reflected in its Block B development plans – signals a strong intention to maximize the development of producing assets in Equatorial Guinea. As a result of their efforts, Equatorial Guinea is well on its way to becoming a major player in the oil and gas game on the continent and worldwide,” states African Energy Chamber Executive Chairman NJ Ayuk.
Distributed by APO Group on behalf of African Energy Chamber.
