The Upstream E&P Forum at African Energy Week: Invest in African Energies 2024 highlighted the efforts of independent operators to maximize production in Africa’s mature oil markets such as Gabon, Equatorial Guinea, and Angola. These operators are focusing on incremental exploration and innovative technologies to revitalize existing assets and drive production gains.
In Gabon, Perenco is conducting appraisal drilling near its Hylia South West discovery to identify additional reservoirs and estimate oil volumes. Trident Energy, on the other hand, launched a three-well infill drilling campaign on Block G in Equatorial Guinea, home to the mature Ceiba and Okume fields.
Armel Simondin, CEO of Perenco SA, emphasized the importance of innovation and technology in extending the life of mature fields. Jean-Michel Jacoulot, CEO of Trident Energy, highlighted the need for a granular approach and creativity in reducing operating costs to compete for production and revenue.
Capacity constraints, ageing infrastructure, and operational downtime remain challenges for operators in mature fields. Rahul Dhir, CEO of Tullow Oil, discussed the importance of cost-control mechanisms and infrastructure upgrades to address these issues and achieve high exploration success rates.
Regulatory stability and contractual frameworks tailored to the capital-intensive nature of mature fields were also highlighted as crucial factors in effectively managing mature oil reservoirs. Paul McDade, CEO of Afentra, emphasized the need for a development plan specific to mature fields to ensure long-term investment and stability.
Afentra is focusing on optimizing, redeveloping, and extending the lifespan of Africa’s legacy assets, with recent approval for the acquisition of Block 23 in Angola. McDade highlighted the opportunity to develop resources near existing infrastructure to maximize production and minimize exploration costs.
Overall, the efforts of independent operators in Africa’s mature oil markets are driven by a combination of innovation, technology, cost-control mechanisms, and regulatory stability. By prioritizing incremental exploration and infrastructure upgrades, these operators are working towards maximizing production and extending the lifespan of existing assets in the region.
