Malabo, Equatorial Guinea — Equatorial Guinea has signed a major Heads of Agreement (HOA) with U.S. energy company ConocoPhillips for the development of offshore Blocks B/4 and EG-27, a move expected to unlock up to $9 billion in investment and strengthen the country’s position as a regional gas hub.
The agreement, signed by the Ministry of Hydrocarbons and Mining Development alongside national oil company GEPetrol and gas company SONAGAS, outlines the framework for developing the two blocks, both of which contain significant gas discoveries. Production Sharing Contracts are expected to be finalized within six months, paving the way for over 20 years of production.
“Block EG-27 and B/4 will not only support the country’s production growth, but unlock a wave of economic opportunities that will benefit Equatorial Guinea for decades,” said Minister Antonio Oburu Ondo. “By developing these blocks efficiently, we aim to restore production levels to those achieved before 2014 and maximize long-term value.”
Block EG-27 holds an estimated 2.8 trillion cubic feet (tcf) of natural gas, while Block B/4 is believed to contain around 0.7 tcf. Combined, the developments are expected to provide feedstock for the Punta Europa facility and bolster the country’s flagship Gas Mega Hub (GMH), an initiative aimed at monetizing stranded gas reserves across the region.
The HOA comes as Equatorial Guinea accelerates efforts to expand its upstream sector, attract new investors, and strengthen its midstream infrastructure. In June 2025, ConocoPhillips exported the inaugural LNG cargo from Punta Europa, marking a milestone in advancing the GMH project.
The Ministry of Hydrocarbons and Mining Development is also preparing a 2026 licensing round to open additional blocks for exploration and production, reinforcing the government’s drive to cement Equatorial Guinea as a Central African gas leader.
The African Energy Chamber welcomed the deal, describing it as a “game-changer” that will create jobs, stimulate economic growth, and consolidate Equatorial Guinea’s standing in Africa’s energy transition.