Equatorial Guinea advances upstream ambitions

Recent deal with Chevron suggests the country’s upstream sector is gaining momentum

Chevron signed an agreement in December for a promising exploration block off the coast of Equatorial Guinea near the Cameroonian border. The US major now holds 80pc of block EG-09 in the Douala Basin and state-owned Gepetrol the remaining 20pc. The acreage was previously explored by South African NOC Petrosa and lies close to recent large discoveries. It sits directly south of block 1, where Chevron already produces oil from the three-year-old Aseng well. Also nearby is the highly lucrative Alen gas and condensate field, which the firm is developing via its subsidiary Noble Energy. The latest exploration agreement signals not only the US major’s growing interest in West Africa, but also the