The Republic of Congo’s Ministry of Hydrocarbons has confirmed it is prioritizing the formation of a new Gas Master Plan, currently in its final stages. Under the plan, the country will consolidate the position of existing exploration and production companies in the sector, as well as promote foreign direct investment and Congolese and African participation in marginal fields.
Congolese Minister of Hydrocarbons Bruno Itoua announced the launch of the new Gas Master Plan at the Invest in African Energy 2024 forum in Paris on May 15. The plan is being developed by the Ministry with support from energy intelligence firm Wood Mackenzie and the country’s national oil company, Société Nationale des Pétroles du Congo (SNPC).
Set to provide a framework that incentivizes development of the national gas sector, the plan will serve as a roadmap to harnessing the Congo’s gas resources both for domestic consumption and export, representing a significant opportunity for regional and international investors. The plan is designed to promote gas utilization, while reducing the country’s dependency on crude oil revenues.
With over 10 trillion cubic feet of proven natural gas resources, the Republic of Congo is targeting the production of 3 million tons per year of LNG from the country’s Marine XII development by 2025. Developed by Italy’s Eni and leveraging gas resources and existing production infrastructure from the Marine XII concession – located roughly 3 km offshore – the project delivered its first cargo to Italy in March 2024. The development serves as part of the broader Congo LNG project, which supports the country’s efforts to maximize its gas reserves for economic growth and enhanced energy security.
In addition to established fields, the new Gas Master Plan opens the floor to renegotiate existing contracts and will culminate in the establishment of a new Gas Code, which will facilitate the commercialization of stranded assets and flared natural gas. As part of the Gas Code, the government is poised to make changes to current fiscal terms to make small-scale projects more economically viable. The Ministry of Hydrocarbons aims to have the new code approved by Parliament by June of this year, according to Minister Itoua.
With its first LNG delivery, the Republic of the Congo has taken a historic step in the development of its hydrocarbons sector. Production at the Marine XII project will be expanded by the arrival of a second LNG vessel featuring a capacity of 3.5 billion cubic meters, which is currently under construction and will begin production sometime this year. The additional unit will be able to store over 180,000 cubic meters of LNG, which will be used to meet domestic demand. In addition to positioning the Republic of Congo as a major LNG player, the Congo LNG project serves to responsibly harness the country’s natural resources and advance towards a more sustainable economy.
Building on the country’s first Gas Master Plan launched in 2021, the revised plan is set to outline the role of natural gas in the context of the Republic of Congo’s energy mix, while providing policy direction to gas industry operators and investors. The plan will affirm the critical role of gas in the national economy and provide a framework required for the delivery of gas to the local market based on a least-cost model.
