Senegalese authorities have revoked the offshore exploration licence held by Nigerian oil magnate Arthur Eze’s company, marking a significant regulatory shift in West Africa’s energy sector.
The Cayar Offshore Shallow exploration licence once held by Atlas Oranto Petroleum, the upstream oil and gas firm founded by Mr. Eze, has been formally withdrawn by the Senegalese government after years of unmet operational and financial commitments, officials said.
Spanning roughly 3,600 square kilometres north of the Dakar peninsula, the offshore block was awarded in 2008 but has remained largely underexplored.
Despite several deadline extensions and seismic surveys that indicated promising leads, no exploration wells were drilled during the licence period, industry sources confirmed.
According to Senegal’s Ministry of Energy and Petroleum, the licence was revoked because Atlas Oranto failed to provide mandated bank guarantees and did not fulfil key contractual work obligations attached to the asset.
The formal withdrawal of the licence took place in September 2025 under the supervision of Minister Birame Souleye Diop.
Senegal’s decision reflects a broader shift by President Bassirou Diomaye Faye’s administration toward tougher enforcement of licence conditions and a renewed focus on monetising its hydrocarbon resources. Government officials said the move was intended to ensure that natural resource rights translate into meaningful investment, exploration and production, rather than remaining inactive amid speculation.
“The withdrawal underscores the government’s push to enforce stricter compliance in the oil and gas sector and ensure that licensed acreage results in tangible economic benefits,” a ministry source said.
The revocation places Senegal among a growing number of African producers reassessing underutilised or stalled exploration contracts signed under earlier, less stringent regulatory regimes.
Across the continent, pressure is mounting on governments to ensure that petroleum licences are not held indefinitely without substantive drilling and development.
The development has renewed scrutiny of Atlas Oranto’s regional footprint. In neighbouring Liberia, the company signed four offshore production-sharing contracts in September 2025, covering Blocks LB-15, LB-16, LB-22 and LB-24 in the Liberian Basin, with reported signature bonuses of between $12 million and $15 million and proposed investments exceeding $200 million per block.
Liberian authorities described the agreements as part of efforts to revitalise the country’s largely dormant petroleum sector.
Industry analysts say that Senegal’s action signals a tougher operating environment for oil and gas investors in Africa and highlights the importance of meeting contractual and financial obligations to retain exploration rights.
At the time of filing this report, Atlas Oranto Petroleum had not issued an official response to the revocation.