Liberia Signs Landmark $15 Million Oil Exploration Deal After Decade-Long Hiatus
Atlas Oranto Petroleum secures four offshore blocks in first upstream petroleum contracts since 2015
Liberia has signed four Production Sharing Contracts (PSCs) with Atlas Oranto Petroleum International Ltd., marking the country’s return to upstream petroleum development after more than ten years of inactivity. The agreements cover offshore Blocks LB 15, LB 16, LB 22, and LB 24 in the Liberian Basin and include a $15 million signature bonus.
The contracts, concluded under the Petroleum (Exploration and Production) Law of Liberia, await ratification by the National Legislature and final approval from President Joseph N. Boakai. Once approved, they will trigger Liberia’s first new drilling campaign in over a decade, potentially transforming the country’s economic prospects.
Atlas Oranto, Africa’s largest privately held exploration and production company, brings extensive West African experience to Liberia. Executive Chairman Prince Arthur Eze framed the partnership as more than an investment, stating the company sees Liberia as “a partner for success” rather than merely an investment destination.
LPRA Director General Marilyn T. Logan described the deal as pivotal for Liberia’s hydrocarbon future, emphasizing that Atlas Oranto’s entry demonstrates confidence in the country’s petroleum potential. The agreement prioritizes African company participation in Liberia’s upstream development while ensuring Liberians benefit through job creation, skills development, and knowledge transfer.
The signed PSCs include comprehensive provisions for environmental and social safeguards, transparent fiscal and revenue-sharing mechanisms, and robust local content requirements designed to ensure direct benefits for Liberian citizens. The regulatory framework emphasizes safe and environmentally responsible operations while prioritizing national value creation.
For Liberia, this development represents a potential economic transformation. The country has long viewed its offshore petroleum reserves as a driver of growth, but exploration stalled following global oil price volatility and political uncertainty. Successful exploration could generate billions in revenue, provide infrastructure investments, and create skilled employment opportunities.
The $15 million signature bonus provides immediate fiscal benefits, but the longer-term value lies in economic diversification beyond traditional exports of iron ore, rubber, and gold. However, realizing these benefits depends on strong governance, transparent revenue management, and effective environmental protection enforcement.
Source: liberianobserver.com
