The Gambia Partners Eni to Advance Offshore Oil Exploration in Block A1

The Government of The Gambia has signed a landmark Petroleum Exploration, Development and Production Licence Agreement (PEPLA) with Eni Gambia Ltd, opening a new chapter in the country’s efforts to unlock its offshore hydrocarbon potential and attract international investment into its energy sector.

The agreement grants the Italian energy company exploration rights over Offshore Block A1, a deep-water concession spanning approximately 1,300 square kilometres along The Gambia’s Atlantic margin. It represents the country’s most significant upstream petroleum commitment since BP exited its operations and signals renewed confidence in the basin’s exploration prospects.

Government Officials said that the partnership has been structured to deliver long-term economic value while ensuring responsible resource development. Under the arrangement, the government will transfer its 10 percent carried participating interest in the block to the Gambia National Petroleum Corporation (GNPC), allowing the state to maintain direct involvement in the project while retaining the option to increase its stake by an additional five percent if a commercial discovery is made.

Apart from potential oil discoveries, the agreement incorporates fiscal benefits including royalties, taxes, signature and production bonuses, local content obligations, training programmes, and capacity-building initiatives designed to maximise national participation and strengthen domestic institutions.

Petroleum, Energy and Mines Minister, Nani Juwara, described the deal as more than an exploration licence, saying it provides a framework for sustainable economic development and future generations to benefit from any petroleum resources that may be discovered.

The Petroleum Commission emphasised that the agreement should not be interpreted as confirmation of commercially viable oil reserves but rather as the beginning of a comprehensive exploration programme. Director General Cany Jobe noted that while The Gambia lies within the increasingly active MSGBC Basin, the country is still at the stage of gathering scientific evidence to determine the true extent of its offshore resources.

She explained that Eni underwent an extensive evaluation process after expressing interest in Block A1 in 2025, with assessments covering technical expertise, financial capacity, operational experience and local content commitments before negotiations were concluded.

Eni’s Exploration Director, Aldo Napolitano, acknowledged the inherent risks associated with frontier petroleum exploration but said the company would deploy advanced geological and geophysical technologies to evaluate the block’s potential. He added that the project reflects Eni’s long-standing commitment to building lasting partnerships across Africa while supporting host countries in developing their natural resources responsibly.

The signing marks a significant milestone for The Gambia’s energy ambitions, positioning the country to further assess its offshore petroleum potential while laying the groundwork for possible future investment, job creation and broader economic diversification if commercially viable resources are eventually confirmed.