United States Signs Landmark Oil Agreement With Senegal

United States Signs Landmark Oil Agreement With Senegal

1

United States Signs Landmark Oil Agreement With Senegal
 
By Adedayo Osho, Field Editor
September 4, 2020
 
The United States Trade and Development Agency USTDA has declared intention to funding a feasibility study to develop Senegal’s first major domestic onshore gas pipeline, with the goal of accelerating the former French West African colonial capital's gas sector.
Speaking on the project, US ambassador to Senegal and Guinea Bissau, Tulinabo  Mushingi, said "The feasibility study will recommend a final pipeline route, finalise technical specifications for each segment of the pipeline and define the technical requirements for the front-end engineering and design phase of the project."
Mushingi added that the system will help position Senegal's electricity generation to clean, inexpensive natural gas, while making use of its own energy resources.
Engaging USTDA will help the developer, Fonds Souverain d’Investissements Stratégiques FONSIS, Senegal’s sovereign wealth fund to attract United States of America's financing of the project.
Oil and Gas Goodness reported in July 2020 that  https://oilandgasgoodness.com/post/Sengal-Mauritania%20Joint%20Oil%20Exploration Sangomar oil field offshore in Dakar, Senegal's capital and the Grand Tortue Ahmeyim gas field straddling the Mauritania-Senegal offshore border are open for hydrocarbon production.
Reacting to the development, Todd Abrajano, Chief Operating Officer and Head of Agency at USTDA stated that: "This pipeline will become the backbone of Senegal’s domestic gas sector and help create the infrastructure to supply the country’s power plants and transform its energy sector." 
Papa Demba Diallo, CEO of FONSIS, in an optimistic, exciting mood said "Working with PETROSEN and SENELEC and in agreement with the Ministry of Petroleum and Energy, this is a strategic project that will accelerate the use of gas, especially in electricity production, and contribute to lowering the cost of electricity."
The United States Trade and Development Agency (USTDA) in the agreement granted $1.2 million to Senegal’s Sovereign Fund for Strategic Investments FONSIS, expecting to launch Senegal as a major African natural gas producer from 2023.
 
 

Click Here To See More