Oil
Murphy Oil secures four offshore blocks in Cameroon
Murphy Oil Corporation has expanded its African footprint by acquiring four offshore blocks covering approximately 2.6 million acres in Cameroon.
Key points
- Murphy Oil signed four production sharing contracts offshore Cameroon.
- The blocks include Elombo, Etinde Exploration, Ntem, and Tilapia.
- State-owned Société Nationale des Hydrocarbures holds up to a 20% future participation right.
What happened
Houston-based Murphy Oil Corporation has significantly expanded its presence in the Gulf of Guinea after securing approximately 2.6 million acres off the coast of Cameroon, according to reporting by Offshore Energy. The acquisition involves four distinct blocks: Elombo, Etinde Exploration, Ntem, and Tilapia.
Under the terms of the agreements, the company's subsidiary will initially maintain a 100% working interest and act as the operator across all four concessions. However, the national oil company, Société Nationale des Hydrocarbures, retains the option to secure up to a 20% working interest in any subsequent development phases that emerge from the partnership.
The venture follows Murphy Oil's recent expansion into the Eastern Mediterranean through exploration licenses in Israel. The firm's wider international portfolio currently spans offshore operations in the U.S. Gulf of Mexico, Canada, Vietnam, and Côte d'Ivoire, focusing on long-term resource development.
Why it matters
For energy investors and regional policymakers, this development highlights the continued allure of West African offshore basins for international operators. Cameroon relies heavily on hydrocarbon revenues, with fuel exports accounting for 54.1% of its merchandise exports in 2023, according to World Bank figures. Bringing new offshore acreage into the exploration pipeline could sustain this vital economic pillar.
At the same time, domestic energy indicators underscore the broader developmental challenges facing the nation. World Bank data for 2024 shows that Cameroon's electricity access stands at 72%, with a per capita electricity consumption of just 202.3 kWh, well below global averages. Clean cooking access is restricted to 32% of the population, reflecting persistent domestic energy deficits despite the country's status as a significant hydrocarbon exporter.
As Murphy Oil and Société Nationale des Hydrocarbures begin evaluating the exploration potential of these blocks, stakeholders will monitor how foreign investment translates into commercial discoveries and whether such upstream projects can contribute to broader regional energy security and economic resilience.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Crude benchmarks move budgets, currencies and inflation in producer and importer countries alike. For economies such as Nigeria, where fuels dominate exports, production and refining decisions move the whole economy.
54.1% of Cameroon’s merchandise exports were fuels in 2023Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
