By: Reuters

Senegal’s Energy Minister announced on Tuesday the government’s plan to nationalize the Yakaar-Teranga gas project, aiming to prioritize domestic gas supply and possibly limited exports. Operated by Kosmos Energy with a 90% stake, Yakaar-Teranga is one of the world’s largest recent gas discoveries, estimated to hold around 25 trillion cubic feet of recoverable gas. The remaining 10% is held by Senegal’s national oil company, Petrosen.

Energy Minister Birame Souleye Diop stated the intent is to transfer operatorship to the experienced state firm Petrosen. The announcement impacted Kosmos Energy, whose shares fell to a five-year low. A final investment decision for the project, expected in 2025, has not yet been announced. In response, Kosmos noted it has been collaborating with Petrosen since BP's exit in 2023 to find a suitable development concept, with the current license set to expire in July 2026.