Nigerian Billionaire Loses Oil Licence Held for 18 Years in Senegal, Reasons Emerge
- Senegal revoked Atlas Oranto Petroleum’s Cayar Offshore Shallow licence, held by Nigerian billionaire Arthur Eze,
- The Senegalese government said the 3,600 sq km block remains underexplored and no wells drilled
- It noted that the decision aligns with broader African efforts to curb speculative licence holding and ensure oil and gas contracts translate into real investment and production
CHECK OUT: How to Start Earning with Copywriting in Just 7 Days – Even if You’re a Complete Beginner
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends
Senegal has withdrawn offshore exploration licences previously held by Atlas Oranto Petroleum, the privately owned oil and gas company established by Nigerian billionaire Arthur Eze.
The Cayar Offshore Shallow exploration licence, covering about 3,600 square kilometres north of the Dakar peninsula, was formally withdrawn in September 2025 under the supervision of Minister Birame Souleye Diop.
Source: Facebook
Why Arthur Eze lost oil licence?
Senegalese government cited Atlas Oranto’s repeated failure to provide required bank guarantees and limited exploration activity since the block was awarded in 2008, despite multiple deadline extensions.
The block is also considered oil-prone but remains underexplored, with several leads identified through seismic surveys, though no wells have been drilled to date.
Senegal’s government framed the decision as part of a broader effort to enforce compliance and implement stricter screening of petroleum rights holders under President Bassirou Diomaye Faye’s administration, AriseTV reports.
A senior ministry official said:
“Senegal is reclaiming control to ensure petroleum rights lead to real investment, drilling, and production, rather than speculative holding."
According to the report, industry accounts referenced in early 2026 confirm that the block saw little meaningful seismic or drilling activity during the licence period.
Source: Getty Images
Government wants real investments
By taking back the Cayar Offshore block, Senegal aligns with other African countries reviewing older oil and gas agreements established during previous exploration phases.
Across the continent, governments are increasingly focused on ensuring that petroleum licences lead to actual investment, drilling, and production, rather than being held for speculative purposes.
The move has also highlighted Atlas Oranto’s broader operations in the region, where its track record has faced scrutiny. In Liberia, for example, developments in 2025 reflect a different regulatory approach.
BusinessInsider reports that in September, the Liberia Petroleum Regulatory Authority signed four production-sharing contracts with Atlas Oranto Petroleum International Ltd., covering offshore Blocks LB-15, LB-16, LB-22, and LB-24 in the Liberian Basin.
The agreements included signature bonuses of $12–15 million per block and proposed investments exceeding $200 million each. Liberian officials described the deals as an effort to revitalize a petroleum sector that has seen minimal activity for more than ten years.
FG opens portal for oil blocks licence
Earlier, Legit.ng reported that the federal government has reduced the signature bonus for the 2025 oil licensing round from the previously approved $10 million to a new range of $3 million to $7 million.
The move is targeted at lowering entry barriers and attracting fresh investment into Nigeria’s upstream sector.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) confirmed the new pricing in an update published on its website, signalling one of the most significant adjustments to investment requirements in recent licensing rounds.
Source: Legit.ng
