(Ecofin Agency) - The information document on the FCfa 80 billion bond which Gabon wants to raise from 17^th to 24^th September 2015 is rather forthcoming in terms of information on the oil production prospects in 2015.

For this year, Gabon is forecasting a national production of crude oil at 10.01 million tons in the initial 2015 Finance Law against 10.25 million tons in 2014, a decrease of 8.8%. This drop is mainly due to a natural decline of mature fields, the strike action by members of the National Organisation of Petroleum Employees (Organisation Nationale des Employés du Pétrole - ONEP), as well as the obsolescence of the facilities and production equipment, the document indicates. However, efforts made by the operators of the sector to improve yields of the wells could help alleviate this natural decline.

Concurrently, the average price of Gabonese crude oil should be USD 40 against USD 80, a drop of 50% compared to initial projections. Nevertheless, the exchange rate of the American dollar relative to the FCFA, would improve at FCFA 530 against FCFA 490 previously. However, in case of a more favourable context, the government is foreseeing the supply of a statistical fund which would contribute to the financing of development expenditure in the general budget.

In 2015, the combined effect of the ONEP strike and financial difficulties experienced by the Société Gabonaise de Raffinage (SOGARA – Gabonese Refinery Company), will lead it to process only 820,000 metric tonnes against 832,828 metric tonnes measured in 2014, a fall of 2%. SOGARA will thus resort to imports of refined oil products, to make up for the deficit and meet the local demand.