On the back of anticipated production growth, Ivory Coast has put in place a long-term strategy for driving project developments and scaling-up national output. Last June, Ivory Coast’s President Alassane Ouattara revealed plans for more than $15 billion in investment in the country’s oil sector. The President further projected an increase in oil output from 60,000 bpd - come the startup of Baleine’s Phase 2 - to 200,000 bpd within the next five years. This strategy to become a major oil and gas hub in West Africa will be achieved through new investments in energy infrastructure and strategic partnerships with international players.

Spearheading International Partnerships

Ivory Coast’s Ministry of Mines, Petroleum and Energy signed production sharing agreements (PSAs) for four offshore oil blocks with Eni in August this year. Under the agreements, Eni will invest over $80 million in exploration activities across Blocks CI-504, CI-526, CI-706 and CI-708 over a three-year period. This milestone follows the major’s Calao discovery in March as well as a $10 billion three-year investment plan to bolster production at the Baleine field.

In the same month, the Ministry signed PSAs for three onshore blocks with independent energy company Elephant Oil. The PSAs pave the way for Elephant Oil and Ivorian national oil company Petroci to cooperate on exploration and production activities in Blocks CI-520, CI-521 and CI-522 over a period of seven years as the country aims to unlock its onshore hydrocarbon potential.

Fast-Tracking Oil Development

Currently in their final stages of upgrading and conversion, the FPSO vessel Petrojarl Kong and FSO vessel Yamoussoukro are set to deploy to the Baleine field for its second phase startup in December. Owned and operated by offshore services group Altera Infrastructure, the vessels will be anchored 50km offshore alongside the FPSO Baleine, which entered into production in August 2023. Shipping company DOF has been selected to install the vessels upon arrival to the field.

Meanwhile, oilfield services company Saipem and logistics operator Africa Global Logistics (AGL) have initiated construction of the underwater structures for the Baleine Phase 2 project. AGL subsidiary CARENA will locally manufacture the metal structures for deployment exceeding 1,000m. Saipem was awarded an engineering, procurement and construction contract in September 2023 and will be responsible for the engineering of approximately 20km of rigid lines; 10km of flexible risers and jumpers; and 15km of umbilicals connected to a dedicated floating unit.

Estimated to contain up to 2.5 billion barrels of oil and 3.3 trillion cubic feet of natural gas, the Baleine field is the largest oil discovery in Ivory Coast. The project is also expected to become the first emissions-free upstream development project in Africa under Scope 1 and 2 of the global standard Greenhouse Gas Protocol.

Capitalizing on Available Blocks

Aligning with Ivory Coast’s vision to make the country a regional oil hub, the country currently has 10 blocks under negotiation and 26 blocks available for leasing. Last year, Ivory Coast’s Minister of Mines, Petroleum and Energy Mamadou Sangafowa Coulibaly announced the country’s strategy to fast-track the development of the country’s gas reserves. The Minister urged Petroci to accelerate the certification of available reserves in available blocks and the submission of a resource development plan to the government.

Major milestones in West Africa’s oil and gas sector in 2024 have positioned the region as one of the most promising exploration and production frontiers globally. As such, this year’s MSGBC Oil, Gas & Power 2024 conference – taking place in Dakar from December 2-3 – will showcase the opportunities and challenges in unlocking the offshore hydrocarbon potential of Ivory Coast and the wider region.

Explore opportunities, foster partnerships and stay at the forefront of the MSGBC region’s oil, gas and power sector. Visit www.msgbcoilgasandpower.com to secure your participation at the MSGBC Oil, Gas & Power 2024 conference. To sponsor or participate as a delegate, please contact sales@energycapitalpower.com.