+27 71 448 3496

Perenco’s FID a step forward to achieve fuel security in West Africa

Share Article
Oil and gas continue to play a big role in the economies of West Africa nations. Image credit: Needpix

Perenco’s FID a step forward to achieve fuel security in West Africa  

Independent oil and gas company, Perenco, has taken a final investment decision for a 700,000-ton Liquefied Natural Gas facility in Gabon, signalling new opportunities for fuel security in Africa.

Following a series of industry achievements (https://apo-opa.info/31Gro9Q) by Perenco in the last year, the independent oil and gas company has reached another milestone in its African gas agenda, reaching a final investment decision (FID) for a 700,000-ton Liquefied Natural Gas (LNG) facility in Gabon – based at the Cap Lopez terminal.

The move not only represents a critical step forward towards achieving fuel security in West Africa but serves to enhance Perenco’s expansion into the African natural gas landscape, positioning the company at the forefront of the continent’s energy transformation.

With FID secured, construction of the large-scale LNG facility can officially kick off. For its part, the project represents a significant development for Gabon (https://apo-opa.info/40YppxT), with an initial investment of USD1-billion and a development timeline of up to three years.

Production is likely to commence in 2026, with the facility producing 700,000 tons of LNG per year as well as 20,000 tons of butane per year. With the project, Perenco will position the country as a self-sufficient nation in terms of butane supply as well as a major exporter of natural gas through LNG.

With an extensive track record of delivering successful oil and gas projects in Gabon – as well as across the African energy landscape –, the FID consolidates Perenco’s commitment to monetising African gas.

Having started producing oil in Gabon in 1992 with the acquisition of mature fields off Port-Gentil, 26 years on, the company has increased production from 8,000 barrels per day (bpd) to 100,000 bpd.

Now, the company operates both on- and offshore licenses in addition to two floating offshore storage and offloading (FPSO) units. Perenco has been producing and supplying gas, critical for power generation, industrialisation and economic growth, to Gabon for more than ten years, a trend which is only set to continue with the company’s upcoming LNG facility.

New era of prosperity (Perenco’s FID a step forward to achieve fuel security in West Africa)

“The drive by Perenco in Gabon as well as across other resource-rich countries in Africa solidifies the company’s commitment to ushering in a new era of economic prosperity across the continent on the back of oil and gas.

“We are excited to see the company hit another milestone with the securing of FID for an LNG facility in Gabon, and we consider this a critical step towards achieving energy security and fuel independence in Africa.

“This achievement represents just one of the many driven by Perenco and we look forward to seeing a fruitful and successful future, both for the company and the countries in which Perenco operates,” says NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC).

Expansion milestones in recent years (Perenco’s FID a step forward to achieve fuel security in West Africa)  

This achievement follows a series of other sector expansion milestones reached by the company in recent years. Under a broader gas expansion agenda in Africa, Perenco developed and is now operating the Hilli Episeyo Floating LNG facility in Cameroon (the first of its kind worldwide); acquired Glencore’s entire upstream interests in North Africa, with the company now holding full operatorship of PetroChad Mangara (the operator of the Mangara, Badila and Krim oilfields in Chad); now operates both the Emeraude and Likouala fields as well as the Yombo field with a FPSO unit and the PNGF South Fields in the Republic of Congo; and represents the only operating company in the Democratic Republic of the Congo (DRC), with 11 fields producing about 25,000 bpd.

All of these milestones have not only positioned the company as a major player in the Africa oil and gas sector but have consolidated its role as a partner of choice for governments across the continent.

Achievements such as this will be further unpacked during the continent’s premier event for the oil and gas sector, African Energy Week (AEW) 2023 (https://AECWeek.com) – taking place from 16-20 October in Cape Town, South Africa.

Under a mandate of making energy poverty history by 2030, the event represents the official platform where deals are signed and developments kicked off. As Gabon enters into a new era of industry growth on the back of LNG, AEW 2023 will drive new investment into other large-scale gas projects across Africa, with major players such as Perenco driving this expansion.

Source: African Energy Week (AEW)

WhyAfrica provides on the ground information and business intelligence about the sustainable utilisation and extraction of natural resources in Africa, and can assist your company through:   

  1. Membership: 
  • WhyAfrica’s membership offers great business insights to you, your company, and clients.
  • Amongst many other benefits, we will publish an editorial about your business on the WhyAfrica platforms – the annual fee is R5,500 and you can find out more or subscribe here: https://www.whyafrica.co.za/product/membership/ 


  1. Sponsorship: 
  • WhyAfrica’s annual 45-day African Road Trip takes place in July and August. We will visit more than 30 project sites and this year we plan to visit the Limpopo Province of South Africa, Zimbabwe or Botswana, Zambia, Malawi, Tanzania, and Kenya. Sponsoring the Road Trip, or to be a WhyAfrica member, gives you unparalleled insight into the business environment of the countries that we travel to and the project sites we visit.
  • To be a member or sponsor allows you access to invaluable, on the ground, business intelligence and a great marketing opportunity for all companies doing business in Africa.
  • The main aim of our Road Trips is to promote Africa as an investment destination and to showcase Africa’s greatest companies, and projects to our large global audience, which includes a list of potential investors, venture capitalists and serial entrepreneurs.
  • To view the photos of last year’s Southern Africa Road Trip click on the gallery link or follow our Instagram account at why.africa https://www.whyafrica.co.za/road-trips/whyafrica-road-trips/. 
  1. Advertising: 
  • We publish daily online articles on our WhyAfrica platform and post them on social media every day. Our combined online reach is more than 45,000. In-article banner ads are highly successful advertising tools as is advertising space on our website.
  • In addition to our bi-weekly newsletters, we publish two printed- and two interactive digital magazines per year. The printed magazines are distributed at major events and conferences throughout the year, and also on our WhyAfrica Road trips.
  • Digital magazines are e-mailed to all our subscribers and shared on our social media platforms. A copy of the latest edition is automatically attached to all our outgoing e-mails.
  • WhyAfrica magazines provide great marketing opportunities. There are also in-article and on-line advertising opportunities at exceptional rates. Contact me for more information on leon@whyafrica.co.za or give me a call.
  • To subscribe to WhyAfrica’s free newsletters and magazines click on the link and register: https://www.whyafrica.co.za/subscribe/  
  1. Partnerships 
  • Maximise your African exposure and link with our large business network through becoming one of only 10 WhyAfrica partners. Contact me on leon@whyafrica.co.za for more information on parternships.

Share Article


AgricultureEnvironmental Management & Climate ChangeEnergyESGInfrastructureMiningPolitical EconomyTourism and ConservationWater Management