Emeka Okwuosa, a Nigerian engineer and energy tycoon, has set his sights on expanding his firm's presence in Central Africa with a multi-billion dollar gas deal in Gabon. Okwuosa's company, OilServ Limited, has signed a milestone agreement with the Gabonese government to develop hydrocarbon reserves in two blocks, DEF-3 and D4-5. This marks OilServ's first move into Central Africa and a return to a country where Okwuosa worked as a young engineer.
OilServ Limited has established itself as one of Nigeria's largest indigenous oil and gas groups, with expertise in Engineering, Procurement, Construction, Installation and Commissioning (EPCIC). The company has completed 19 major pipeline projects covering over 930 kilometres, carried out 76 pipeline leak repairs, constructed 28 above-ground facilities, and performed 18 major horizontal directional drilling operations. Okwuosa's firm has been entrusted with multi-billion-dollar national infrastructure projects, including the laying of pipeline networks carrying the country's gas.
In July, OilServ completed the largest single piece of energy infrastructure Nigeria has ever attempted: the first phase of the Ajaokuta-Kaduna-Kano (AKK) Gas pipeline. The 303-kilometre section was completed in record time, and the full AKK pipeline runs 614 kilometres at a cost of about $2.8 billion. The planned pipeline is meant to carry gas from Southern Nigeria to the industrial north and eventually toward Morocco and Europe. Okwuosa's firm also built the Obiafu-Obrikom-Oben (OB3) line that moves gas out of the eastern Niger Delta.
The agreement signed in the Gabonese capital, Libreville, commits OilServ to building the gas transportation, compression and treatment infrastructure needed to move and process gas from the blocks. Gabon's gas market is projected to reach $2.12 billion by 2031, and the country has been pushing for energy sovereignty. The Central African nation has taken steps to assert control over its energy assets, including the purchase of Carlyle's sale of Assala Energy to France's Maurel & Prom in 2023.
Okwuosa said the agreement places Oilserv at the intersection of Gabon's resource development, energy infrastructure, gas monetisation and national energy security. The Nigerian energy tycoon has a mission to deploy African technical capacity to achieve African energy security. With this deal, OilServ is poised to bring its expertise to Gabon and help the country develop its hydrocarbon reserves.
The deal was signed with Clotaire Kondja, Gabon's Minister of Petroleum and Gas, and marks a significant milestone for OilServ's expansion into Central Africa. Okwuosa's firm is expected to bring its expertise in EPCIC to the project, which will help Gabon develop its energy infrastructure and monetise its gas reserves. The project is also expected to create jobs and stimulate economic growth in Gabon.
The agreement between OilServ and the Gabonese government is a strategic move for both parties. For OilServ, it marks a new market and an opportunity to expand its presence in Central Africa. For Gabon, it provides a chance to develop its hydrocarbon reserves and assert its energy sovereignty. With the Gabon's gas market projected to reach $2.12 billion by 2031, the deal has the potential to be a game-changer for the country's energy sector.
Key points
- OilServ Limited, led by Emeka Okwuosa, has signed a multi-billion dollar deal to develop hydrocarbon reserves in two Gabonese blocks.
- The deal marks OilServ's first move into Central Africa and a return to a country where Okwuosa worked as a young engineer.
- Gabon's gas market is projected to reach $2.12 billion by 2031, and the country has been pushing for energy sovereignty.
