• Somalia will conduct its first offshore oil drilling, though no date or location has been disclosed.

• Government and industry estimates suggest a potential of 30–40 billion barrels of oil, but no proven reserves exist.

• President Hassan Sheikh Mohamud called the project a “new economic adventure” to test offshore resources.

Somalia is preparing to launch its first offshore oil drilling, a move seen as a critical step in testing the country’s untapped hydrocarbon potential. Local media reported the plan on September 29, though officials did not provide details on timing or location.

The drilling marks a milestone for a country that has been searching for commercially viable oil deposits for decades, despite seismic studies confirming the presence of hydrocarbons. Companies such as Coastline Exploration and Liberty Petroleum have shown interest in Somali offshore blocks.

In March 2024, Liberty Petroleum secured rights from the Somali government to explore hydrocarbons in offshore blocks 131, 190, and 206 under a five-year production-sharing agreement. Turkey also signed an exploration deal with Somalia and aims to expand its energy presence in the region.

President Hassan Sheikh Mohamud described the initiative as a “new economic adventure” that will “test the volume and quality” of oil resources identified off Somalia’s coast.

Estimates from the Somali government, the U.S. Department of Commerce, and Coastline Exploration suggest offshore reserves could hold between 30 billion and 40 billion barrels. These figures are based on seismic data and projections rather than proven reserves. Exploratory wells are required to verify commercial viability.

Wood Mackenzie notes that one in three oil exploration wells typically lead to a discovery, and about half of those discoveries prove commercially viable. Rystad Energy reported that out of 27 high-impact wells drilled worldwide in 2023, eight resulted in exploitable volumes.

This development follows Somalia’s adoption of a petroleum legal framework in 2020 and the creation of the Somali Petroleum Authority. Since then, Mogadishu has signed agreements with foreign partners, particularly Turkey, which has the technical capacity to carry out offshore exploration.

By launching this first offshore well, the Somali government seeks to demonstrate stability, attract foreign investment, and position the energy sector as a driver of economic transformation.

This article was initially published in French by Abdel-Latif Boureima

Adapted in English by Ange Jason Quenum