Benin-Niger WAPCO Pipeline Normalizes Crude Export Flows as Sèmè Offshore Blocks Reopen for Bidding

International crude transit through the 1,950 km Niger-Benin export pipeline (WAPCO) has achieved steady-state operations, regularly loading Suezmax and VLCC tankers at the offshore Single Point Mooring (SPM) facility in Sèmè-Kpodji.

The operational stabilization of the transit corridor has created renewed momentum for Benin's upstream licensing desk. The Directorate General of Hydrocarbons (DGH) has reopened promotional rounds and direct negotiations for offshore Blocks 1, 2, 3, and 4, alongside redevelopment agreements for the mature Sèmè field.

What this means for operators

1. Transit fee predictability and fiscal terms: The intergovernmental convention establishes guaranteed transit tariffs per barrel delivered to the marine terminal, exempted from local import tariffs.
2. Direct negotiation for shallow offshore acreage: The DGH is offering flexible PSC terms on coastal blocks, featuring reduced royalty rates starting from 5% for early entrants.
3. Infrastructure tie-in advantages: Future commercial offshore discoveries in Benin's maritime zone can tie directly into existing offshore Sèmè-Kpodji terminal installations, dramatically lowering CAPEX.

Key Timelines

• Target SPM throughput: 110,000 barrels per day by year-end 2026.
• Offshore Blocks 1-4 Expression of Interest window: Open directly at the DGH.