SNH Bolongo Block: Octavia Energy Secures Production Sharing Contract

• SNH and Octavia Energy completed negotiations for a Production Sharing Contract (PSC) on the Bolongo exploration block.
• The contract will be submitted for official signature in the coming days, enabling Octavia Energy to proceed with exploration activities.
• The Bolongo Block is located in the Rio del Rey Basin, Cameroon's main oil-producing area and part of the eastern extension of the Niger Delta petroleum system.

According to SNH, the contract will be submitted for official signature in the coming days, paving the way for Octavia Energy to proceed with exploration activities on the block.

Cameroon's National Hydrocarbons Corporation (SNH) and Octavia Energy have finalized negotiations for a Production Sharing Contract (PSC) on the Bolongo exploration block in the Rio del Rey Basin. The agreement was reached after two days of talks at SNH's headquarters in Yaoundé, marking a significant milestone in the upstream oil and gas sector in Cameroon. According to SNH, the contract will be submitted for official signature in the coming days, paving the way for Octavia Energy to proceed with exploration activities on the block.

The Bolongo Block is one of five oil and gas blocks retained by SNH for contract negotiations following an international licensing process launched on March 30, 2026. The process aimed to select operators for nine available blocks, with Octavia Energy emerging as the successful bidder for the Bolongo block. The Rio del Rey Basin, where the Bolongo Block is located, is Cameroon's main oil-producing area and part of the eastern extension of the Niger Delta petroleum system. This strategic location offers significant potential for oil exploration and production.

The completion of negotiations for the PSC on the Bolongo Block marks a crucial step in Octavia Energy's upstream oil and gas investment plans in Cameroon. The signing of the contract will enable the company to move forward with exploration activities, leveraging existing oil infrastructure and extensive seismic data available on the block. Lawyers advising clients on upstream oil and gas investments in Cameroon should closely monitor the official signature of this PSC, as it will set a precedent for future contracts in the sector.

Lawyers advising clients on upstream oil and gas investments in Cameroon should watch for the official signature of this Production Sharing Contract, which will enable Octavia Energy to proceed with exploration activities on the Bolongo Block.

Source: Original reporting via Cameroon's National Hydrocarbons Corporation