RoydadNaft –  TotalEnergies has signed four production sharing contracts (PSC) with the Liberia Petroleum Regulatory Agency for the LB-6, LB-11, LB-17 and LB-29 offshore exploration blocks, which were awarded under the 2024 Direct Negotiation Licensing Round.

Covering approximately 12,700km² in the southern Liberia basin, the contracts include a commitment to conduct a 3D seismic survey.

Liberia has sought to attract investment in its oil sector through reforms over the past decade, as most of its 29 offshore blocks remain without contracts, reported Reuters.

TotalEnergies exploration senior vice-president Kevin McLachlan said: “TotalEnergies is enthusiastic to be part of the resumption of exploration activities in offshore Liberia.Entering these blocks aligns with our strategy of diversifying our exploration portfolio in high-potential new oil-prone basins.

“These areas hold significant potential for prospects that have the potential for large-scale discoveries that lead to cost-effective, low-emission developments, leveraging the company’s proven expertise in deep-water operations.”

In recent years, few companies have shown serious interest in Liberia’s offshore blocks. The country currently lacks a refinery and relies on imports for all petroleum products, according to the US International Trade Administration (ITA).

In 2023, ExxonMobil applied to pre-qualify for four offshore oil blocks – 15, 16, 22 and 24 – in the country.

According to the ITA, if commercially viable oil deposits are discovered, a separate Ministry of Petroleum would be required to manage bidding processes.

TotalEnergies operates in 120 countries, producing and marketing oil, gas and biofuels.

Earlier this month, TotalEnergies was awarded a contract by KOGAS for the supply of one million tonnes per annum of liquefied natural gas for a period of ten years.