Senegal has signed a memorandum of understanding with Italian energy major Eni to evaluate the oil and gas potential of five offshore blocks, marking another step in the country’s strategy to revive exploration and attract international investment into its sedimentary basin. The agreement covers blocks SN01M, SN02M, SN03M, SN07M and SN40M, with Eni expected to undertake preliminary technical, geological and geophysical studies at its own expense, according to Senegal’s Energy Minister El Hadji Abdourahmane Diouf and Reuters.
The agreement does not yet represent a commercial development commitment, but it gives Eni an opportunity to assess the resource potential of the acreage before any decision on further exploration or production. Senegal’s national oil company, Petrosen, will play a central role in the development process, reinforcing the government’s intention to combine international technical and financial expertise with greater national participation in the sector.
The move comes as Dakar prepares a much broader opening of its upstream sector. CNBC Africa reported last week that Senegal plans to offer 109 of its 113 oil and gas blocks to local and international investors, with only four currently under contract. The push comes after Senegal entered a new phase of petroleum production, including its first oil project in 2024 and the start of LNG exports in 2025, positioning the country as an emerging energy player in West Africa.
Eni’s involvement provides an early signal that Senegal’s renewed licensing strategy is attracting attention from major international energy companies. If the technical studies identify commercially viable resources, the five blocks could progress into larger exploration programmes, potentially bringing new capital, technology, services activity and future government revenues. For investors, the more significant development to watch is whether Senegal can convert its large acreage offering into sustained exploration commitments while strengthening Petrosen and local energy companies to capture a greater share of the value created by the country’s expanding hydrocarbons industry.
