The Senegalese people have recently selected a new president, Bassirou Faye, who defeated former president Macky Sall in the last month landslide election.
The Senegalese people have recently selected a new president, Bassirou Faye, who defeated former president Macky Sall in the last month's landslide election.
Faye had made radical campaign promises such as re-negotiation of oil, gas and mineral contracts with international operators “to tackle corruption and introduce a series of economic reforms to prioritise national interests” in a country set to become an energy producer and LNG exporter later this year.
-In June 2019, BBC Panorama reported that Senegal’s government had awarded two offshore oil and gas blocks’ exploration and production concession to an unknown-inexperienced company, namely Petro-Tim in 2011. This paper company was set up by Frank Timis (Timis group) several weeks “after winning the contract”!
-Timis as middleman sold 60% of its concession shares to the US-based Kosmos Energy, which later on explored substantial gas reserves in the blocks.
-After the successful drilling, BP joined the partnership and agreed to buy Timis' remaining stake in the gas basin for “$250 million in 2017, while the UK-based company was also projected to pay his company between $9bn and $12bn in royalties” over 40 years.
“Initially, BP did not dispute the $10 billion figure mentioned in the report, but has subsequently said it is wholly inaccurate and exaggerated.”
-Currently, BP and its partner Kosmos Energy are developing the 16 TCF Greater Tortue?Ahmeyim?(GTA) gas field to be a feedgas source for the 2.5 MMT/Y GTA FLNG project’s first phase.
The project’s first LNG cargo is expected to export in the fourth quarter of 2024 as BP had recently announced that FLNG facility has arrived at the project on the maritime border of Mauritania and Senegal.
-Although, the UK-based company has said that it “concluded extensive and appropriate due diligence” for dealing with Timis, but there are several allegations from local and international lawyers and tax experts, supported by the new government officials who have requested a deep investigation into the controversial case.
-The deal would deprive Senegal, one of the world's poorest countries, of major revenue over decades, BBC has remarked.
-Another company that is involved in Senegal’s oil and gas sector is Woodside Energy.
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Mostafa Sharif, Gas Market Senior Advisor contributed to this article.
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