The House of Representatives has approved two major oil exploration agreements involving TotalEnergies and Oranto Petroleum through majority votes late Thursday, marking the first major international upstream engagement in Liberia in more than a decade.
TotalEnergies, a major global energy company headquartered in France, signed four Production Sharing Contracts for offshore exploration blocks LB-6, LB-11, LB-17, and LB-29 in the Liberian Basin. These contracts were awarded under the 2024 Direct Negotiation Licensing Round and aim to revive exploration activities in Liberia’s deepwater basins through seismic surveys and the potential drilling of wells.
TotalEnergies brings significant technical expertise and investment strength to the agreements, which are viewed as a major step toward revitalizing Liberia’s dormant oil sector, attracting foreign investment, and strengthening local content participation and environmental safeguards.
Atlas/Oranto Petroleum Liberia Limited, a subsidiary of the Nigerian-linked Oranto Petroleum group, signed PSCs for four offshore blocks—LB-15, LB-16, LB-22, and LB-24—which include signature bonuses and commitments to undertake exploration activities.
However, the Oranto deal has sparked public debate and controversy. Oranto previously held Liberian oil blocks but transferred them to Chevron without drilling, raising concerns about the company’s capacity, tax compliance, and overall track record. Critics have questioned the transparency and terms of the new agreements, with growing calls for greater transparency and assurances that the agreements will deliver meaningful benefits to Liberia.
Source: FrontPageAfrica via allafrica.com