Senegal has achieved a significant milestone in its energy sector by refining its own crude oil for the first time. The African Refinery Company (Société Africaine de Raffinage – SAR), established in 1961, has traditionally processed imported oil. However, it has now successfully refined 650,000 barrels of domestically produced crude oil from the Sangomar field, located approximately 100 kilometers south of Dakar. This process yielded 90,000 tons of various petroleum products, including diesel, kerosene, gasoline, and butane gas.
The Sangomar field commenced production in June 2024, operated by Australian energy company Woodside Energy. This development marks Senegal’s entry into the oil production arena, enabling the country to process its own crude oil domestically.
To accommodate the specific characteristics of Senegalese crude oil, SAR has undertaken significant upgrades to its refinery. These enhancements are designed to optimize the refining process and ensure the production of high-quality petroleum products.
This advancement aligns with Senegal’s broader economic and social development plan, which aims to foster economic sovereignty, sustainability, and good governance. The plan includes a $30.1 billion investment in its first phase (2025-2029) to reduce the budget deficit and increase the average tax burden, with a focus on diversifying and strengthening the economy.
The successful domestic refining of crude oil is expected to reduce Senegal’s reliance on imported petroleum products, potentially leading to cost savings and enhanced energy security. Additionally, it positions Senegal as a new player in the regional energy market, with the potential to export refined products to neighboring countries.
While this development is promising, challenges remain, including the need for continued investment in infrastructure and technology to maintain and expand refining capacity. Nonetheless, Senegal’s entry into domestic oil refining represents a significant step toward achieving greater energy independence and economic resilience.