Energy major bp has signed a Memorandum of Understanding (MOU) with Gabon’s Ministry of Petroleum and Gas to explore deep- and ultra-deepwater acreage offshore Gabon.
The agreement reflects Gabon’s renewed push into deep-water exploration and is expected to enhance geological understanding of the country’s offshore hydrocarbon basins.
The African Energy Chamber (AEC), as the voice of Africa’s energy sector, believes that the agreement marks an important step toward discovering new hydrocarbon deposits in Gabon. The deal not only sends a message of renewed global confidence in the country’s oil and gas industry but also underscores the government’s commitment to collaborating with international partners on exploration and production initiatives. With bp embarking on this campaign, the message is clear: Gabon is open and ready for upstream investment.
The MOU aligns with the government’s objective to reverse production decline by attracting investment in deepwater exploration. Though Gabon’s production history spans more than five decades, output from legacy fields has seen a gradual decline. At the same time, over 70% of the country’s deepwater acreage remains unexplored, presenting a strategic opportunity for foreign investors. In response, the government has sought to incentivize exploration, aiming to sustain production above 220,000 barrels per day (bpd) in the medium term and ultimately increase to 500,000 bpd, with deepwater exploration as a core element of this strategy.
This latest agreement reaffirms the government’s commitment to offshore exploration and follows several other contractual milestones reached in 2025. The Ministry recently signed Production Sharing and Exploration Contracts (PSCs) with Pilgrim Exploration Limited, covering Block Ndjila (G4-269) and Block Mpari (G4-270). Earlier this month, it also struck an agreement with ExxonMobil to explore offshore oil and gas. These developments support Gabon’s broader strategy of retaining competitiveness in a shifting global energy landscape.
Previous milestones include deals in 2024 and 2023. Notably, BW Energy signed PSCs for exploration Blocks Niosi Marin and Guduma Marin, covering an eight-year exploration period with a two-year extension option. Alongside its partner VAALCO Energy, the company plans to drill one well and carry out a 3D seismic campaign. BW Energy also has stakes in the Dussafu license, which features 14 producing wells tied back to an FPSO. Other players active in the market include Perenco, which spud the Hylia South West discovery in 2024, uncovering substantial oil-bearing columns in the Ntchengue Ocean reservoir. China’s CNOOC also launched wildcat drilling on Blocks BC-9 and BCD-10 in 2023.
On the gas front, infrastructure projects aim to position Gabon as a regional hub. Perenco is advancing development of the Cap Lopez LNG terminal, targeting first production by 2026. The $2 billion project is located at the existing Cap Lopez oil terminal and will deliver 700,000 tons per annum of LNG and 25,000 tons of LPG. The project complements the Batanga LPG facility, which came online in 2023 with a capacity of 15,000 tons per annum. These projects support not only regional fuel security, but also future upstream investments by providing secure downstream infrastructure.
To further attract investment across its oil and gas value chain, the government plans to introduce separate hydrocarbon codes: an Oil Code and a Gas Code to replace the current Hydrocarbon Code. Announced at African Energy Week 2025: Invest in African Energies, the new regime will provide sector-specific fiscal and legal frameworks to give investors clearer terms. In parallel, the introduction of a Gas Master Plan is set to strengthen domestic infrastructure and diversify export pathways. Through robust policy reform, Gabon is boosting transparency and enhancing its attractiveness as an upstream investment destination.
“Gabon’s proactive approach to engaging investors and driving exploration will deliver positive results for its oil and gas industry. This agreement with bp is a testament to the confidence of international operators in the country’s hydrocarbon future. Stronger regulations and continued collaboration will further support investments, affirming the country’s position as a compelling upstream destination,” states NJ Ayuk, Executive Chairman of the AEC.
