The governments of Equatorial Guinea and Cameroon have sealed a unitization and operating agreement to jointly develop the cross-border Yoyo-Yolanda gas fields in the Gulf of Guinea. The agreement was signed during an official ceremony at the People’s Palace in Malabo, presided over by Equatorial Guinea’s Vice President Teodoro Nguema Obiang Mangue.
The deal formalises a bilateral treaty first concluded in March 2023 and provides the legal and commercial framework for joint extraction of natural gas from the offshore field, which straddles the maritime boundary between the two countries. The Yoyo-Yolanda fields, operated by Chevron through its affiliates Noble Energy Cameroon and Noble Energy Equatorial Guinea, are estimated to contain around 2.5 trillion cubic feet (Tcf) of natural gas. Chevron has reaffirmed its commitment to the project, describing it as central to its long-term LNG strategy in the region.
READ: IUCN, UNEP partner on water management initiative in Africa
Economic gain
Under the development plan, gas will be extracted offshore and liquefied at Equatorial Guinea’s Punta Europa LNG complex, a key component of the country’s Gas Mega Hub strategy. Additional gas volumes are expected to flow along a second development axis toward Bipaga in Cameroon, supporting domestic supply and potential industrial use.
Industry groups, including the African Energy Chamber, say the unitization agreement strengthens regulatory and infrastructure coordination, reduces development risk, and improves project economics by leveraging existing processing and export facilities. The project is also expected to unlock additional upstream drilling activity and boost LNG feedstock supply at a time when African producers are seeking to monetise stranded gas resources.
For Equatorial Guinea, the project reinforces its ambition to position itself as a regional gas processing and export hub. For Cameroon, it supports efforts to expand energy access, increase hydrocarbon revenues, and strengthen energy security.
While officials have highlighted the project’s potential to create jobs and enhance economic sovereignty, environmental concerns remain. Offshore gas extraction carries risks that could have long-term ecological consequences if not carefully managed, prompting calls for strong environmental safeguards as the project moves toward final development.
With the unitization framework now in place, attention turns to advancing engineering studies, securing investment, and progressing toward a final investment decision, as the Gulf of Guinea seeks to emerge as a more prominent LNG supply centre.
