Senegal joins oil-producing countries, begins production
Senegal has officially joined the list of oilproducing countries in West Africa, marking a significant milestone in the country’s economic history.
Last week, the country began producing oil for the first time, with the Sangomar deep-water project aiming to produce 100,000 barrels of oil per day.
“This is a historic day, a key milestone for Woodside and Senegal,” said Australian energy giant, Woodside while highlighting the significance of the achievement.
President Bassirou Diomaye Faye assured the nation that profits from the sale of the country’s oil and gas would be well managed, stating, “We have set up an intergeneration fund for the benefit of your generation and those to come.”
Thierno Ly, the general manager of the national oil company, Petrosen, echoed the president’s sentiments, saying, “We have never been so well positioned for opportunities for growth, innovation and success in the economic and social development of our nation.”
The move to begin oil production is expected to generate billions of dollars for Senegal and boost the country’s economy. However, government’s decision to renegotiate oil and gas contracts has been met with some skepticism from investors.
Prime Minister Ousmane Sonko, a key figure in the president’s election campaign, justified the move, saying, “We are the ones who promised that we would renegotiate the contracts; and we are going to do it. We have started already.”
He added that contracts signed by previous administrations were “unfavourable” to the country.
As Senegal begins this new era of oil production, its government remains committed to ensuring that the nation benefits from its natural resources.