Cybele Energy Secures Historic Guyana Oil Block
Ghana’s Africa Legal Associates (ALPi Ghana) has announced the successful signing of a Petroleum Agreement and the issuance of a Petroleum Exploration License for Shallow Water Block S7 to Cybele Energy Ltd., a move hailed as a landmark achievement for African participation in the Guyanese oil sector.
The agreement, signed today at the Pegasus Hotel in Georgetown, Guyana, makes Cybele Energy, led by President Beatrice Mensah‑Tayui, the first African company to be awarded an oil block in Guyana. It also marks the first time an African operator has secured such a license in both South America and the Caribbean.
This development is being celebrated as a significant win for Ghana, the African continent, and particularly for African women in global business. It also strengthens the growing economic and diplomatic ties between Ghana and Guyana, furthering Africa-Caribbean cooperation.
ALPi Ghana has been providing legal counsel to Cybele Energy since December 2022, supporting them through Guyana’s competitive bidding process for offshore blocks. The firm, working alongside its affiliate ALA Strategic Consult Guyana Ltd. and the Ghana Chamber of Commerce Guyana – both headed by Stanley Armartefio Jr. – assisted Cybele Energy with bid preparation, due diligence, negotiations, and regulatory compliance.
“Working with Ms Mensah‑Tayui and her committed team over the years has been an enriching experience, and we look forward with optimism to the next phase of exploration and development on Block S7,” said Nana Adjoa Hackman, Managing Partner of ALA.
Block S7 is considered one of Guyana’s most promising shallow-water prospects, situated within the prolific Guyana offshore basin. Cybele Energy’s technical analysis suggests the block could hold up to 400 million recoverable barrels of oil, with a potential production rate of up to 160,000 barrels per day.
The shallow-water location, approximately 100 km offshore, allows for the possibility of utilising an onshore early production facility (EPF), potentially reducing development costs compared to deepwater Floating Production Storage and Offloading (FPSO) vessels. Furthermore, shallow-water operators in Guyana benefit from a 65% cost-recovery provision.
The project also prioritises local content and Corporate Social Responsibility (CSR), with commitments to training, logistics infrastructure, and potential investments in healthcare, housing, and the development of offshore service capabilities for the benefit of the Guyanese people.
Gabby Asare Otchere‑Darko, ALA’s Senior Partner, emphasized the broader significance of the deal. “Today’s signing is more than a commercial achievement; it is a continental milestone,” he stated. “It affirms what African companies and African women leaders can accomplish on the global stage when determination, expertise and partnership come together.”
“We are honoured to have walked this path with Cybele Energy from the beginning and look forward to supporting the next phase of exploration and development in Guyana,” Otchere-Darko added.
Image Source: MYJOYONLINE
