Tag: Nigeria

Senegal has revoked the offshore exploration licence held by Atlas Oranto Petroleum, the oil and gas company founded by Nigerian energy entrepreneur Arthur Eze, in a move reflecting a stricter regulatory approach toward underperforming petroleum assets. The Cayar Offshore Shallow licence, awarded in 2008, was withdrawn after Atlas Oranto failed to provide the required bank guarantees and carried out minimal exploration work, despite multiple deadline extensions. The block spans about 3,600 square kilometres north of the Dakar peninsula and is considered promising for oil but remains largely unexplored. Energy and Petroleum Minister Birame Souleye Diop confirmed the formal revocation in September 2025, citing the company’s repeated failure to meet its financial and contractual obligations. Industry sources noted that there was little meaningful seismic activity or drilling throughout the licence period, with no wells drilled despite promising leads from earlier surveys. Senegal’s action is part of a broader effort under President Bassirou Diomaye Faye’s administration to ensure petroleum licences lead to tangible investment, exploration, and production, rather than being held for speculative purposes. Officials described the revocation as a measure to enforce compliance and strengthen oversight of licence holders. The move has drawn attention to Atlas Oranto’s wider regional operations. In Liberia, the company signed four offshore production-sharing contracts in 2025 for blocks LB-15, LB-16, LB-22, and LB-24, including signature bonuses of $12–15 million per block and proposed investments exceeding $200 million each. The agreements were intended to revive Liberia’s largely inactive petroleum sector but faced criticism from lawmakers and civil society groups over transparency, financial capacity, and environmental concerns. Senegalese authorities maintained that Atlas Oranto’s nearly 20-year failure to provide bank guarantees or advance exploration activity justified the licence revocation, signalling a governance approach focused on accountability, performance, and the proper management of petroleum resources.