Senegal’s Ministry of Energy, Petroleum, and Mines reported that the Sangomar offshore oil field produced 3.11 million barrels of crude oil in January 2025.
This production milestone reflects the country’s growing role in global energy markets since it began oil extraction in June 2024. During January, three shipments totaling 2.89 million barrels were exported and sold internationally, underscoring the project’s integration into global trade.
The Sangomar field, located 100 kilometers south of Dakar, is Senegal’s first offshore oil project and is operated by Australia’s Woodside Energy in partnership with Senegal’s national oil company, Petrosen.
Woodside holds an 82% stake, while Petrosen owns the remaining 18%. The project represents a $5 billion investment and aims to produce 100,000 barrels per day throughout 2025. Total annual production is projected at 30.53 million barrels.
This achievement follows an impressive performance in 2024. During that year, Sangomar exceeded its target by producing 16.9 million barrels instead of the planned 11.7 million barrels.
The operation relies on advanced infrastructure, including the Leopold Sedar Senghor floating production storage and offloading (FPSO) vessel, which can store up to 1.3 million barrels of crude oil at a time.
Economic Impacts and Challenges Ahead
Sangomar’s output has significant economic implications for Senegal. Oil revenues are expected to exceed $1 billion annually for the next three decades. This will provide critical funds for infrastructure development and public services.
The government has also established mechanisms like an intergenerational fund to ensure long-term economic stability and equitable distribution of oil wealth. Despite these successes, challenges remain.
President Bassirou Diomaye Faye has prioritized transparency in managing oil revenues and announced audits of existing contracts to ensure fair terms for Senegal. Environmental concerns also loom as the nation seeks to balance economic growth with sustainability.
Compared to African oil giants like Nigeria and Angola, Senegal’s production volume is modest but strategically significant. Its medium-sulfur crude has found demand among refineries in Europe and Asia, enhancing its market position.
Sangomar marks a transformative chapter in Senegal’s economy, positioning the country as an emerging player in Africa’s energy sector. However, it also raises questions about sustainable resource management and long-term development strategies.
