Société des Pétroles du Sénégal (Petrosen), Senegal’s state-owned oil and gas company, has shed light on the investment required to bring a deepwater gas field to life, which is estimated to hold recoverable resources of approximately 25 trillion cubic feet (tcf) of gas.

U.S.-headquartered Kosmos Energy, which was in charge of the Yakaar-Teranga gas field off the coast of Senegal, confirmed in December 2025 that it was making arrangements with Petrosen to find a suitable partner and agree on a commercially viable development concept for the field, while pointing out that it would work with the African country’s state-owned player in the absence of a new partner to transfer the block back to the Senegalese state on or before the license expiry in July 2026.

The country’s Ministry of Energy, Petroleum and Mines emphasized that there was no intention to nationalize the project. While disclosing the results for the fourth quarter of 2025, the American firm underlined that it was still working with Petrosen to withdraw from the block as it had not been able to attract a suitable partner and agree on a commercially attractive development concept with the African nation’s government.

Senegal took over the Yakaar-Teranga field in April 2026, following the U.S. player’s exit, granting Petrosen exclusive rights without compensation. The move was interpreted to prioritize domestic energy over exports within the Greater Cayar Offshore Profond block north of Dakar. Based on the latest information from Petrosen, the development of the Yakaar-Teranga gas field is expected to require around $7.5 billion to bring the estimated recoverable resources of 25 trillion cubic feet of gas to market.

However, the multibillion-dollar gas project is anticipated to lend Senegal a helping hand in curbing its annual $1 billion energy subsidy costs, while supporting efforts to reduce the need for imports, after the new gas supply starts flowing to the domestic market. This comes nearly a year after Senegal started producing energy from its floating power plant, known as a powership, off the coast of Dakar.

Among other significant energy projects in the African country are Woodside’s Sangomar field, which is the nation’s first offshore development that achieved first oil in June 2024 with MODEC’s FPSO Léopold Sédar Senghor, and BP’s Greater Tortue Ahmeyim (GTA) Phase 1 project offshore Mauritania and Senegal.

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Birame Souleye Diop, Senegal’s Minister of Energy, Petroleum and Mines, paid a working visit to Petrosen on April 30, 2026, to discuss projects, such as Yaakaar-Teranga. During the meeting, the asset’s development progress was considered, including the methodology, technical options, resource assessment, social and environmental impacts, the financial package for a final investment decision (FID), as well as aspects related to marketing and communication.

The state-owned company was urged to accelerate the pace of the project’s development, as the asset is deemed to be of national interest. The work done so far on the project is perceived to represent a substantial step forward. Petrosen confirmed a development concept, based on an integrated gas chain architecture and an advanced level of technical maturation, setting the stage for the entry into the front-end engineering design (FEED) phase.

The firm elaborated a few weeks ago that the project demonstrated economic viability, backed by a robust model and a secure offtake strategy, highlighting: “Yakaar-Teranga is no longer a project in design. It is a structured project, ready to take the next decisive steps.”

Senegal’s state-owned player claims that the broader trajectory revolves around the gradual ramp-up of production, anticipation of future energy needs, and the country’s position within the sub-regional energy dynamic.

Petrosen underscored: “Yakaar-Teranga thus goes beyond the framework of an energy project. It is part of a broader ambition for economic transformation, energy sovereignty and the strategic repositioning of Senegal.

“Petrosen, as a central player in this dynamic, continues its commitment with method, high standards and a sense of responsibility. A new phase is beginning.”

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