Senegal Withdraws Offshore Oil Licence From Nigerian Billionaire Arthur Eze’s Company

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Senegal has withdrawn offshore oil exploration rights previously granted to Atlas Oranto Petroleum, an indigenous oil and gas company founded by Nigerian billionaire and energy investor, Arthur Eze.

The move comes amid a renewed push by the Senegalese government under President Bassirou Diomaye Faye to strengthen regulatory enforcement in the energy sector and ensure that petroleum licences lead to real investment, development, and production.

According to Business Insider Africa, the government cancelled the Cayar Offshore Shallow exploration licence after concluding that Atlas Oranto failed to fulfil essential financial and operational obligations linked to the asset.

Originally issued in 2008, the licence covers approximately 3,600 square kilometres located north of Dakar’s peninsula. While the block is regarded as oil-prospective, it remained largely undeveloped throughout the licence period. Despite receiving several extensions, Atlas Oranto reportedly conducted limited exploration activities and did not provide the mandatory bank guarantees.

Although seismic studies revealed multiple hydrocarbon prospects within the acreage, no exploration wells were drilled during the entire duration of the licence.

In September 2025, the Ministry of Energy and Petroleum, under the leadership of Birame Souleye Diop, formally revoked the licence, citing repeated breaches of contractual terms and financial commitments by the company.

Industry sources referenced in early 2026 further confirmed that the block experienced minimal seismic or drilling activity while it remained under Atlas Oranto’s control.

Following the revocation, the Senegalese state regained full ownership of the offshore block, describing the decision as part of a wider strategy to tighten discipline in the petroleum sector and apply stricter screening standards to licence holders.

Senegal’s action aligns with a broader trend across several African countries, where governments are reviewing long-standing oil and gas licences that have failed to deliver meaningful investment or production outcomes.

As pressure grows to unlock value from natural resources, many African producers are reclaiming underutilised assets awarded during earlier exploration phases. Officials say the goal is to discourage speculative licence holding and ensure petroleum rights generate tangible economic returns.

The development has once again placed Atlas Oranto’s regional operations under scrutiny, particularly across West Africa, where the company’s execution track record has attracted regulatory attention in multiple jurisdictions.

However, the situation differs in Liberia, where authorities have adopted a more accommodating stance. In September 2025, the Liberia Petroleum Regulatory Authority signed four production-sharing contracts with Atlas Oranto Petroleum International Ltd for offshore Blocks LB-15, LB-16, LB-22, and LB-24 within the Liberian Basin.

The agreements reportedly included signature bonuses ranging between $12 million and $15 million, alongside proposed investments exceeding $200 million per block.

Liberian officials described the contracts as part of efforts to rejuvenate a petroleum sector that has seen little activity for more than ten years.