Gabon and OPEC.. Gabon officially returned to the Organization of the Petroleum Exporting Countries (OPEC) in 2016, after it was a former member between 1975 and 1995, and left temporarily due to high annual fees.
Gabon and OPEC.. Oil production in Gabon will reach 182,500 barrels per day, during 2022, down from 2016 levels, which amounted to 250,000 barrels per day, while it produced 200,000 barrels per day at the beginning of this year.
Gabon and OPEC.. The world’s eyes turn to Gabon and the events taking place there, after army officers announced the seizure of power, in a new coup in the brown continent. The matter is different in Gabon for the world, especially as it is a strong oil-producing country in Africa.
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The African “oil giant” is on the line of fire… Gabon and OPEC
Gabon officially returned to the Organization of the Petroleum Exporting Countries “OPEC” in 2016, after it was a former member between 1975 and 1995, and left temporarily due to high annual fees.
How much oil production in Gabon?
Oil production in Gabon will reach 182,500 barrels per day, during 2022, down from 2016 levels, which amounted to 250,000 barrels per day, while it produced 200,000 barrels per day at the beginning of this year.
The country’s oil production also reached its peak in 1996, recording 365 thousand barrels per day, and due to the scarcity of oil field reserves since then, production has been declining so far.
In April, oil production in Gabon rebounded with new flow from the first wells of the Norwegian company PW Energy, which seeks to boost drilling and production activity in Africa.
The well is also located within the first phase of the development of the “Hibiscus / Rochi” field project in the “Dosavu” offshore oil complex in the African country, according to the “Offshore Energy Base” website.
Eramet, the French mining company, suspends all operations in Gabon
French miner Eramet, which owns the manganese-producing unit Comelog in Gabon, announced on Wednesday that it had suspended all operations in the country following developments overnight in the country.
“As of this morning, all Comelog and Strag operations have been suspended, as well as rail transportation,” a company spokesperson confirmed to .
A group of senior Gabonese army officers appeared on television in the early hours of Wednesday and announced their seizure of power, after the election center announced that President Omar Bongo won a third term.
Regarding gas supplies to importing countries… the biggest danger
Whereas, the reforms of the oil sector in Gabon, which were carried out by the Ministry of Oil, Gas, Hydrocarbons and Mines in the African country, in cooperation with international oil companies, contributed to revising the hydrocarbons law to improve financial conditions and improve the performance of the sector.
The new hydrocarbons law of 2019 has reduced government participation and revenue in production-sharing contracts, according to information monitored by the specialized energy platform.
This means that a crisis may occur regarding gas supplies to importing countries.
Oil prices continue their gains today, Wednesday
Oil prices witnessed gains today, Wednesday, due to news of the halt of oil fields in Gabon and the suspension of some companies, as well as after industry data showed a significant drop in crude stocks in the United States, the largest consumer of fuel in the world, and in light of supply concerns due to Hurricane Adalia.
Brent crude futures for October delivery rose 17 cents, or 0.2 percent, to $85.66 a barrel by 0133 GMT.
The October contract expires tomorrow, Thursday. The November contract was the most active at $85.08 a barrel, up 17 cents.
West Texas Intermediate crude futures rose 24 cents, or 0.3 percent, to $81.40, recording gains for the fifth session.
Both benchmarks rose more than $1 a barrel on Tuesday as the dollar fell after prospects of a rate hike diminished in the wake of the weak jobs data.
A weaker US currency makes dollar-denominated oil less expensive for investors holding other currencies, boosting demand.
Meanwhile, market sources said, citing figures from the American Petroleum Institute, on Tuesday, that crude oil inventories fell by about 11.5 million barrels in the week ending August 25.
Analysts polled by before the data was released had estimated, on average, a decline of 3.3 million barrels.
Meanwhile, investors bought futures contracts on concerns surrounding Hurricane Adalia, which is lashing the Gulf of Mexico to the east of major US oil and natural gas production sites.
Energy Information Administration data indicates that offshore fields in the Gulf of Mexico account for about 15 percent of US crude production and roughly 5 percent of natural gas production.
Oil major Chevron has evacuated some of its employees from the region, but production is continuing at the sites where it operates in the Gulf of Mexico.
While crude oil inventories declined, the Petroleum Institute data showed that gasoline stocks rose by about 1.4 million barrels, and distillate stocks, including diesel and jet fuel, rose by about 2.5 million barrels.
Official crude inventories data from the Energy Information Administration are due at 1430 GMT on Wednesday.
A Brief History of Gabon with OPEC
The country located in West Central Africa, one of the most prosperous countries in the region, and the highest in the human development index in sub-Saharan Africa, and helped in this small population density – estimated at about 2.3 million people – along with abundant natural resources, especially oil, so that it has become Known as the African “oil giant”.
It has an area of approximately 270,000 square kilometers, and is bordered by the Gulf of Guinea to the west, Equatorial Guinea to the northwest, Cameroon to the north, and the Congo to the east and south. It became independent from France in 1960, and since that date it has been ruled by only three presidents, starting with Leon Mba in 1961.
Accused of applying a “dictatorial” regime that sought to guarantee French interests. After his death in 1967, Omar Bongo replaced him until his death in 2009. Then his son, the current president, Ali.
Gabon officially returned to the Organization of the Petroleum Exporting Countries (OPEC) in 2016, after it was a former member of it between 1975 and 1995, and left temporarily due to high annual fees, according to a previous report by Al-Sharq Al-Awsat newspaper.
Gabon’s natural gas production reached 454 million cubic meters by the end of 2021, up from only 80 million cubic meters in 2010, according to OPEC’s annual report.
It has 26 billion cubic meters of proven natural gas reserves by the end of 2021, most of which are in oil fields.
The Gabonese government relies heavily on crude oil revenues, which together with other liquids represent about 45% of the country’s GDP.
Moreover, Gabon’s exports of oil and other liquids accounted for approximately 79% of total export revenues during 2021.