Senegal revokes Atlas Oranto’s offshore oil licence linked to Arthur Eze, reclaiming the Cayar block amid stricter enforcement of petroleum contracts.
The Senegalese government has officially withdrawn the Cayar Offshore Shallow oil exploration licence held by Atlas Oranto Petroleum, a company linked to Nigerian oil magnate Arthur Eze, citing prolonged non-compliance with contractual and financial obligations.
The licence, originally awarded in 2008, covers about 3,600 square kilometres north of the Dakar peninsula. Although the acreage is regarded as oil-prone, with multiple prospects identified through seismic data, no exploration wells were drilled throughout the licence period.
Authorities noted that only limited technical activity took place despite several extensions granted to the operator over the years.
According to Senegal’s Ministry of Energy and Petroleum, the decision followed Atlas Oranto’s failure to submit mandatory bank guarantees and to demonstrate meaningful progress in exploration. Under the supervision of Energy Minister Birame Souleye Diop, the ministry formally revoked the licence in September 2025, bringing the long-running arrangement to an end.
Industry sources cited in early 2026 confirmed that the block saw little to no substantive seismic or drilling work, reinforcing the government’s position that the licence had been underutilised. Senegal has since reclaimed full control of the offshore acreage, describing the move as part of a broader push to strengthen oversight and enforce stricter compliance among oil and gas licence holders.
The revocation aligns with reforms under President Bassirou Diomaye Faye’s administration, which has signalled a tougher stance on dormant or speculative petroleum assets. Senegal now joins a growing list of African oil-producing and frontier states reassessing legacy contracts signed during earlier exploration cycles, amid rising pressure to ensure that licences translate into real investment and development.
The development has also renewed scrutiny of Atlas Oranto’s regional operations. While Senegal opted for licence withdrawal, Liberia adopted a different regulatory approach in 2025, approving four offshore production-sharing contracts for the company in the Liberian Basin. Those deals, which included multi-million-dollar signature bonuses and proposed investments running into hundreds of millions of dollars per block, were presented by Liberian authorities as a strategy to revive a long-stagnant petroleum sector.
However, the Liberian agreements sparked criticism from lawmakers and civil society organisations, who raised concerns over transparency, financial capacity and environmental safeguards. Advocacy groups also questioned the decision to structure signature bonuses in instalments, warning that such arrangements could weaken enforcement and reduce incentives for early exploration activity, especially in high-risk offshore areas.
Arthur Eze Loses Senegal Offshore Oil Licence as Government Reclaims Cayar Block