Between the end of the FLNG Hilli Episeyo, the ambitions of the Yoyo–Yolanda project and the opening of new exploration blocks, Cameroon’s gas sector is entering a new phase. While prospects remain promising, the success of this transition will now depend on the materialization of investments and the country’s ability to transform its potential into sustainable wealth.
A pioneering project that has reached the end of its exploitation
Commissioned in 2018, the FLNG Hilli Episeyo constituted a major milestone in Cameroon’s energy history. Thanks to this floating infrastructure, the country became a producer and exporter of liquefied natural gas (LNG), valorizing a field whose recoverable reserves were estimated at nearly 600 billion cubic feet.
Designed for an exploitation period of around eight years, the project has now reached the end of its natural cycle. The gradual decline in production observed in the field results primarily from the progressive depletion of exploitable reserves and not from any failure of the national strategy. This evolution corresponds to the geological reality of mature fields and the contractual commitments made at the project’s launch.
Yoyo–Yolanda, a project set to change scale
Cameroon’s gas future is now taking shape offshore, on the maritime border with Equatorial Guinea. The signature, on 3 February 2026, of the unitization agreement between Yaoundé and Malabo opens the way to the joint exploitation of the cross-border Yoyo–Yolanda field.
With geological reserves estimated at around 2,500 billion cubic feet, more than four times those of the field exploited by Hilli Episeyo, this project represents one of the most significant gas developments envisaged in the Gulf of Guinea.
Operated by Noble Energy, a Chevron subsidiary, the project would require an estimated investment of nearly 4 billion dollars. However, despite this considerable potential, several stages remain essential before production starts: engineering studies, financing mobilization, commercial negotiations, regulatory approvals, and final investment decision.
In other words, the potential exists, but its realization will still require several years.
An exploration revival that remains to be transformed
Alongside the major offshore projects, Cameroon continues its policy of opening its mining domain to international investors.
The call for tenders launched on 1 August 2025 on nine oil and gas blocks in the Rio del Rey and Douala/Kribi-Campo basins is beginning to yield its first results.
Five blocks are now undergoing advanced negotiations with a view to signing production sharing contracts. The companies Murphy West Africa and Octavia Energy are among the operators engaged in this process.
This dynamic reflects renewed interest from international companies in Cameroon’s energy potential. However, these advances remain essentially contractual. At this stage, none of these blocks has yet entered the commercial exploitation phase, and several years will probably be needed before any potential production.
Export more or strengthen the domestic market?
Beyond the search for new deposits, Cameroon must also define its strategy for using the gas already available.
Gas extracted from mature fields continues to supply the Kribi Power Development Company plant, guaranteeing part of national electricity production. The authorities are also working to develop new industrial outlets and strengthen onshore processing infrastructure in order to better valorize associated gas.
This orientation presents several advantages: improved energy security, reduced flaring, support for industrialization, and reduced energy imports.
However, it also raises a major economic trade-off.
Exporting liquefied natural gas generally generates significant foreign exchange earnings thanks to international markets, but exposes the country to global price fluctuations.
Conversely, domestic use of gas fosters industrial development and value creation on national territory, even if its budgetary impact is often more gradual.
The choice between these two approaches will constitute one of the main challenges of Cameroon’s energy policy over the coming years.
Between official optimism and economic reality
Faced with the concerns raised by the end of Hilli Episeyo operations, the Cameroonian authorities are keen to be reassuring. They estimate that the withdrawal of this floating unit will not cause a collapse in public revenues and emphasize that the gas concerned can be redirected towards other uses, notably electricity production and industry.
This analysis nevertheless has certain limits.
While domestic valorization constitutes an important lever for the country’s economic transformation, it does not immediately produce the same revenues as LNG exports, whose added value remains high on international markets.
The real challenge will therefore be to simultaneously succeed in developing new export projects while strengthening national gas consumption.
A decisive transition for Cameroon’s energy future
Cameroon’s gas sector is not facing a structural crisis, but is going through a pivotal period marked by the gradual replacement of a mature asset by a new generation of projects still under development.
International agreements, calls for tenders, and investment announcements testify to a willingness to prepare the future. However, the credibility of this strategy will depend less on stated intentions than on the effective realization of projects, volumes produced, export contracts concluded, and revenues actually generated.
In this perspective, the next decade will be decisive. It will determine whether Cameroon manages to transform its significant gas potential into a true engine of economic growth, energy security, and sustainable industrial development.
