Operations at the Tsimiroro Oil Field in western Madagascar have resumed after several years, marking a new phase for the country’s oil sector. The restart was announced by Madagascar Oil, where the company’s new chief executive, Yanto Sianpar, outlined plans to gradually revive production following a period affected by internal disputes, legal hurdles and global market volatility.
Production has restarted at a modest level of around 300 barrels per day as part of the initial phase of the restart programme. The company plans to steadily expand output, with a target of reaching approximately 3,000 barrels per day within the next two years as operational capacity at the site improves.
To support the renewed operations, Madagascar Oil will make use of existing facilities at Tsimiroro. Around 25 previously drilled wells are expected to be brought back online, with further drilling planned to boost production. The company also intends to upgrade steam injection systems used to extract heavy crude, alongside improvements to processing and production infrastructure.
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Energy security
Development at the field slowed in recent years due to fluctuating international oil prices and disruptions linked to the COVID-19 pandemic, which affected investment and operations across the global energy industry. Madagascar Oil also underwent a financial restructuring process approved by the Supreme Court of the Bahamas in 2024, following complex legal proceedings.
Despite these challenges, the company maintained limited supplies of heavy fuel oil to several domestic industrial customers, including STAR, Savonnerie Tropicale, and Pêche et Froid de l’Océan Indien. Looking ahead, Madagascar Oil aims to expand sales within the domestic market, particularly to the state-owned utility Jirama. The utility’s thermal power plants consume an estimated 4,000 barrels of heavy fuel oil per day, and the company believes increased output from Tsimiroro could help meet part of that demand.
Ramping up domestic heavy fuel oil production could reduce Madagascar’s reliance on imports while strengthening national energy security. The Tsimiroro field is considered one of the country’s most significant hydrocarbon resources, with reserves estimated at more than 1.4 billion barrels of heavy oil, offering long-term potential for sustained production growth.
