The Nigerien state-owned company SONIDEP (Société Nigérienne du Pétrole) has launched its first prospecting and exploitation operations in Niger. Since its creation in 1977, SONIDEP has mainly been confined to the marketing of petroleum products. The company will now embark on the exploration and exploitation of crude oil and gas, notably in the desertic areas of eastern Niger. Exploration and exploitation will start of the Bilma blocks and the R5, R6 and R7 blocks, which are already owned by SONIDEP.
On the sidelines of this decision, the Nigerien Government has announced that the country has decided to produce its own oil to ensure its economic sovereignty. In March 2024, Niger’s Council of Ministers had adopted two Production Sharing Contract (PSCs) decrees between the State of Niger and SONIDEP.
Niger’s oil reserves stood at about 20 Mt (as of end-2021). Oil production in the country started in 2011. Since 2013, oil production has been stable, between 0.7 Mt/year and 0.9 Mt/year. In 2021, more than 50% of the country’s power generation came from oil-fired power plants.