Newsletters

Point AI

Powered by AI and perfected by seasoned editors. Every story blends AI speed with human judgment.

West Africa’s Benin to miss out on 2025 oil production amid operational setback

Output is expected to reach about 16,000 barrels per day once production starts
Benin oil production
Subject(s):

Psstโ€ฆ youโ€™re reading Techpoint Digest

Every day, we handpick the biggest stories, skip the noise, and bring you a fun digest you can trust.

EiA Sub Form

West African nation, Benin, will not achieve first oil production in 2025 after drilling problems delayed progress at the Seme shallow water oil field offshore the country, the operators confirmed on Monday.

The Seme project, located offshore Benin in West Africa, was expected to deliver first oil before the end of 2025.

However, Lime Petroleum, the Norwegian majority shareholder of operator Akrake Petroleum, said challenges encountered during drilling have pushed production beyond the year.

โ€œAs such, production will not take place in 2025. Nonetheless, drilling operations are continuing at the moment to attempt to resolve these issues,โ€ Lime Petroleum said in a statement.

Borr Drillingโ€™s jack up rig Gerd has been at the Seme field since July 2025. What was planned as a 100 day drilling campaign has now been extended to December, according to Borr Drillingโ€™s fleet status report.

The rig is scheduled to move to Ivory Coast afterward for work with Foxtrot International.

Semeโ€™s redevelopment plan includes three production wells connected to a mobile offshore production unit and linked to a floating storage and offloading vessel. Output is expected to reach about 16,000 barrels per day once production starts.

Akrake Petroleum holds a 76% operating stake in the Seme field in Block 1.

The government of Benin owns 15%, while Octogone E and P holds 9%. Block 1 covers 551 square kilometres in shallow waters of between 20 metres and 30 metres.

The Seme field was discovered in 1969 by Union Oil and first developed by Norwayโ€™s Saga Petroleum. It produced about 22 million barrels between 1982 and 1998 before being shut due to low oil prices, according to Lime Petroleum.

In parallel, Dubai based offshore yard Drydocks World has delivered the Stella Energy 1 mobile offshore production unit ahead of schedule for the Seme redevelopment project.

โ€œTransforming an inactive rig into a fully operational production unit is a complex project that demands the highest standards of technical capability and project discipline,โ€ Drydocks World said.

The MOPU will be deployed at the Seme field as drilling continues. Borr Drilling said its jack up rig Gerd spudded the first of the three planned production wells on 4 August.

Beninโ€™s drive to become oil producing nation

Moreover, Beninโ€™s renewed push into oil production is centred on the redevelopment of the Seme field, the countryโ€™s only offshore oil discovery to reach commercial production.

Government officials have described the project as part of a broader effort to diversify state revenue beyond agriculture and port services.

The Ministry of Energy has said reviving oil production would reduce Beninโ€™s dependence on imported fuel products, which currently supply most domestic demand.

The country was once an oil producer in the 1980s and 1990s, before low oil prices forced an early shutdown of the field.

Akrake Petroleum, which operates the field, has said redevelopment allows Benin to restart production using existing discoveries rather than funding expensive exploration campaigns.

Despite delays, authorities have maintained public support for the project, describing it as a long term investment rather than a short term revenue fix.

Seme to add to West Africaโ€™s bloc oil output

If production begins, Benin would join a group of smaller oil producers contributing modest volumes to West Africaโ€™s overall crude supply.

At forecast peak production of about 16,000 barrels per day, Seme would remain small compared to oil-rich countries like Nigeria or Angola.

Beninโ€™s effort mirrors similar moves by other West African states seeking to enter or expand oil production. Senegal and Mauritania are advancing offshore projects that are expected to deliver first oil in the coming years.

Senegalโ€™s Sangomar field, developed by Woodside Energy, started production earlier this year.

Akrake Petroleum and Lime Petroleum have indicated that first oil could still be possible in 2026, depending on the outcome of ongoing drilling operations at Seme.

However, further delays could push timelines beyond current forecasts, especially if additional well work is required.

Follow Techpoint Africa on WhatsApp!

Never miss a beat on tech, startups, and business news from across Africa with the best of journalism.

Follow

Read next