The Republic of Benin is set to make a significant comeback in the global crude oil market with its first shipment of 250,000 barrels of crude oil scheduled for October 2026. This development comes from the offshore Sèmè field, located in the southeastern part of the country. The oil field, which has been dormant since 1998, is being revitalized through a partnership between Akrake Petroleum Benin, a subsidiary of Singapore-based Rex International Holding, the Beninese government, and Octogone E&P.
The Sèmè field, discovered in 1968 by the Union Oil Company of California, previously produced around 22 million barrels of oil between 1982 and 1998. The production halted mainly due to low global oil prices at the time. After a production-sharing contract was signed in December 2023, the project moved into its operational phase in August 2025 with the deployment of heavy equipment on the block 1. The current production rate stands at approximately 3,000 barrels per day, which is lower than the initial projections of 5,000 to 6,000 barrels per day.
The project is being led by Akrake Petroleum Benin, which holds a 76% stake in the block 1, covering an area of 551 square kilometers in shallow waters of 20 to 30 meters. The Beninese government owns 15%, while Octogone E&P holds the remaining 9%. The production has been made possible by the success of a second horizontal well of 1,405 meters, with 950 meters crossing a petroleum-bearing formation. This followed a less successful first drilling that did not reach the targeted geological formation.
According to an independent report published in March 2025, the proven and probable reserves of the Sèmè field are estimated at 10.9 million barrels. The October 2026 shipment will serve as a commercial test for Benin's crude oil. Industry analysts suggest that the crude might be offered at a slight discount during its initial transactions. However, no buyer has been officially announced for this first delivery.
The return of Benin to the crude oil export market is significant, marking an end to over two decades of production halt. The development is expected to boost the country's economy and reposition it as a player in the global energy sector. The partnership between Akrake Petroleum Benin, the Beninese government, and Octogone E&P has been instrumental in reviving the Sèmè field.
The production process has not been without its challenges. The slower-than-expected production rate is attributed to technical adjustments during the drilling phase. Despite these challenges, the project has shown promise, with the second well yielding positive results. The phased development approach is aimed at ensuring sustainable and efficient extraction.
As Benin prepares for its first crude oil shipment in October 2026, stakeholders are optimistic about the future of the country's energy sector. The successful execution of this project could pave the way for further developments in the region, enhancing Benin's position in the global oil market. Key players are closely watching the developments, anticipating the economic benefits that this revival could bring.
Key points
- Benin is set to export 250,000 barrels of crude oil from the offshore Sèmè field in October 2026.
- The Sèmè field has estimated proven and probable reserves of 10.9 million barrels.
- The production rate currently stands at approximately 3,000 barrels per day.
