Equatorial Guinea Overview

Equatorial Guinea: A Doorway to West Africa

Equatorial Guinea is among the largest oil producers in Africa, with an output of 280,000 bopd in 2016. Oil and gas exports have been central to the country’s growth and are expected to continue driving the economy going forward as it diversifies along the oil and gas value chain. As of 2016, the country has estimated reserves of 1.1 billion barrels of oil. The domestic oil and gas industry is relatively young. Large oil reserves were first discovered in 1996. Within a decade, Equatorial Guinea’s oil production rose from 17,000 bopd in 1996 to a record 375,000 bopd in 2005. Additional development of existing oil and gas deposits continues along with new exploration and development in other offshore concessions.

Low oil prices have affected the local industry, slowing or halting several operations. Still, Equatorial Guinea is moving forward. In June 2017, the Ministry of Mines awarded several blocks to the winners of the Ronda 2016 licensing round, and ExxonMobil struck oil in the Avestruz-1 well in Block EG-06 in December 2017. Ophir Energy and its partners are expected to announce the final investment decision for the Fortuna FLNG project in 2018.

Besides investing in the further development of its upstream sector, Equatorial Guinea looks to benefit from its geographical location and facilities, becoming a regional energy hub. Facilities such as the Bioko Oil Terminal, Luba Freeport and REPEGE project will bring the country closer to realising these aspirations.