Despite the recent coup in Gabon, oil and gas companies Tullow Oil and BW Energy, both actively operating in the country, have reported that their oil production activities continue unaffected.
The military takeover in Gabon on August 30th raised concerns about potential disruptions to the nation’s oil sector but reports from S&P Global Commodity Insights reveal that operations remain stable.
Firm Production Amidst Political Uncertainty
According to the report, Tullow Oil, which produced around 14,900 barrels per day in Gabon last year, asserted that its operations remain unaffected by the ongoing political situation.
Similarly, BW Energy, currently producing 27,500 barrels per day, confirmed that offshore operations are proceeding as usual.
Maurel & Prom, involved in purchasing 40,700 barrels per day of Assala Energy, stated that their activities are unimpeded by the prevailing political tension.
Assurance from African Energy Chamber
The African Energy Chamber issued a statement highlighting that active oil and gas companies in Gabon have communicated their uninterrupted operations and commitment to ensuring the safety of their workers.
Notably, companies like TotalEnergies, Tullow, and Perenco are closely monitoring the situation, with BW Energy reiterating the continuity of offshore operations.
Despite concerns arising from escalating tensions, these companies remain focused on maintaining their operations.
Stability Amidst Uncertainty: Expert Insight
Maja Bovcon, senior Africa analyst at Verisk Maplecroft, projected that while immediate business changes may be unlikely, the military’s influence on the business landscape could evolve over time.
The prevailing sentiment suggests that the Gabonese military might prioritize maintaining a stable business environment initially to reassure investors.
However, the long-term impacts could involve reviewing contracts and seeking greater involvement in economic projects.
Clariform Perspective: Predictions for the Future
Amid the ongoing political shifts, the outlook for Gabon’s oil sector remains cautiously optimistic.
While the immediate impact seems limited, future developments could see a recalibration of the country’s economy, which has historically relied heavily on oil production.
As Gabon’s oil output faces challenges, diversification efforts and broader economic initiatives might come to the forefront in the nation’s pursuit of stability and growth.
