Country Profile of
Conventional and Renewable Energies:
Prepared by
Maria-Evangelia Kaninia
Intern from August to …, 2006
For the
1 Executive summary
Equatorial Guinea has seen a windfall of oil revenues since 1995. The country currently
ranks 6th in terms of oil production in Africa. The impressive revenues generated, though, have
hardly ameliorated the poor living conditions of the majority of the half million inhabitants. The
government has been accused of corruption and international agents are pressing for reforms to
guarantee transparency in the handling of oil revenues. Gas is also an important commodity.
Although in the beginning gas was simply disposed of, now infrastructure is being built to
monetize it, by liquefaction or methanol production.
Little has been done to promote renewable energy sources. There is potential for further
hydro plants (which already generate a small percentage of electricity), however the government
does not seem to be prioritizing non-directly oil-related infrastructure, especially when
conventional fuels are readily available.
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2.1.2 Population
- Total population: about 540 Figure 1 Map of Equatorial Guinea
thousand (July 2006 est.), [CIA]
dominated by the younger ages
- Growth rate: As of 2006, estimated at 2.05%
“establishment of a clear fiscal policy framework for management of petroleum wealth” and
“reporting and reconciliation of oil revenue flows” as priority targets.
The country also has significant still undeveloped mineral resources.
6 80
60
4
40
2
20
0 0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Real GDP (PPP US$ at 1996 prices) GDP PPP US$ [IMFa] (%change)
combustible
crude oil renewable
oil products gas hydro and waste electricity
Inland Production 206.5 81.2 ? ?
Imports 0.0 1.2 0.0 0.0
Exports 206.0 0.0 0.0 0.0
TPES 0.5 1.2 17.7 ? ? 0.0
Transformation Processes 0.0 ? 14.1 ? ? 25.0
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1
Note that this source erroneously refers to the ministry as “Ministry of Mines and Hydrocarbons”.
2 th
This quantity includes gas condensates. Equatorial Guinea ranks 6 in Africa in terms of oil
production.
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Figure 3 Oil production ([EIA]): In 2004 the government requested that a cap be put
on oil production at 350,000 bbl/d in order to avoid destabilization of the economy.
3
The balance published at [EIAa] gives the following share for the consumption of oil products for
2003: 65% diesel, gasoline and kerosene equally sharing the remaining.
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2.2.2.2 Gas
[EIA]4 quotes a figure of 1.3 trillion cubic feet of proven (offshore) natural gas reserves as
of January 1, 2006 (although this figure is subject to being revised upwards, owing to new
exploration activities, it is still a tiny fraction of the approximately 500 trillion cubic feet (source:
[EIAb]) of African reserves). The reserves are mainly located in the Alba gas field (situated on the
Isla de Bioko), whose interests belong to Marathon oil, in conjunction with Noble Energy and the
state-run GEpetrol. The production became substantial in 2002 (reaching 45 billion cubic feet)
and is domestically consumed in its entirety.
bcf
Gross Production 81.2
Vented and Flared 60.0
Reinjected 3.5
5
Marketed Production 17.7
Dry Production 3.5
Dry Consumption 3.5
Figure 4 Detailed table for gas production, year 2003, source: [EIAa]
A liquefaction facility operated by Marathon (see [MAR]) is scheduled to come on-stream
in late 2007. The LNG produced will be exported to the US, via pre-established agreements.
Marathon holds a 75% stake on this project, with the state holding the remaining percentage (see
2.2.2.2.1 for the sector organization). According to the contract, the output will be 3.4 million
metric tons (equivalent to 165 billion cubic feet – more than triple the current gas output in
gaseous state) per year over 17 years.
Methanol is produced by AMPCO6 at a complex situated on Bioko Island. The plant was
conceived as a means to monetizing the gas contained in the Alba oil-field, which until then only
produced condensates and vented or flared the remaining gas. Commercial production started in
2001. Nominal capacity is (according to the company site [AMPCO]) 2,500 metric tons per day,
achieving 900,000 metric tons per year (in energy content) or 3% of the world methanol supply
([NOB]). In other words (assuming efficiency of 70% for the production process), this plant
absorbs about 24 bcf of previously wasted natural gas, which amounts to one third of the quantity
vented/ flared in 20037.
2.2.2.3 Electricity
Data for 2003 ([EIA]) provide a figure for electricity production at 30 million kWh
(consumed domestically, after allowing for losses), equivalent to only 55 kWh per capita (indicator
4
The data provided by [EIA] is self-contradictory, since the country analysis brief mentions that
production for 2003 was at 45 bcf. At the same time, the detailed energy balance for the same year ([EIAa])
reports the marketed production at 18bcf and the dry gas production at 4bcf. The fact remains that the gas
reserves are still being under-exploited, which will be corrected as new projects come into existence.
5
Includes the quantity that serves as input to the methanol production plant, see below.
6
Atlantic Methanol Production Company, co-owned by Noble Energy and Marathon Oil Company
(45% each, while the state gas company owns the remaining 10%).
7
It is reasonable to assume that the difference between the Marketed Production and the Dry Gas
Production in Figure 4 accounts (allowing for errors in data collection) partially for the input to the methanol
production process.
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of poor development indices). The current generating capacity is estimated by EIA at 130 MW8
(combination of hydroelectric and thermal plants – both in the mainland and the insular part of the
country), although the country energy balance for the year 2003 (available at [EIAa]) gives a
figure of 18MW9. Small-sized backup generators fuelled with diesel or other oil products are
widespread.
The partition of capacity between the island of Bioko and the mainland part is unequal,
with the mainland only accounting for about 5 MW (including 1 MW of hydroelectric energy).
Expansion of the generating capacity follows the discovery of fuel sources. Thus the
Punta Europa plant (initially operated in 1999 with an output of 10 MW, later extended to 28 MW
– constraints on output are being imposed by the capacity of the pre-existing transmission line)
on the Isla de Bioko is supplied with natural gas from the Alba field. Also, a 4.6 MW at the
AMPCO methanol producing unit is under construction.
Network: The transmission and distribution network is divided in the mainland part
(serving the suburbs of Mobo) and the insular part (linking the capital Malabo to the port Luba),
totaling 80 miles of high tension lines.
8
Clearly, if this figure is correct, then the figure for the generated electricity is erroneous, since it
would mean that the plants only have a utilization rate of 3%. [STA] mentions that “estimations vary”;
according to this source, 15.4 MW is the certain installed capacity and 5-30 MW is the additional
“undeclared” capacity.
9
The EIA acknowledges that the figures provided are probably underestimated. Thus, the country
energy balance at [EIAa] estimates the installed capacity at 18MW, while the associated brief gives an
estimate at 12MW (which it subsequently upgrades to 130MW). The electricity generated should similarly be
upgraded follow these figures.
10
As can be seen in the Status of Ratification as published on http://unfccc.int.
11
A general assessment of the RE sector in Africa can be found in [RENAFR].
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makes it obvious that it refers to the mainland part of the country and the Rio Muni). However, no
cross-reference has been found.
3.1.2 Wind
According to a study realized by Hélimax Énergie ([HEL]) on behalf of the African
Development Bank, Equatorial Guinea has no significant potential.
4 References / Sources
- [CIA] https://www.cia.gov/cia/publications/factbook/geos/ek.html, CIA World Factbook,
accessed on 01/09/06
- [EIA] http://www.eia.doe.gov/emeu/cabs, Energy Information Administration, Country
Analysis Briefs, accessed on 01/09/06, report updated in May 2006
o [EIAa] http://www.eia.doe.gov/emeu/world/country/cntry_EK.html, detailed
country energy balance by type of energy commodities (year 2003), accessed on
07/09/06
o [EIAb] International Energy Outlook 2006, available online at
http://www.eia.doe.gov/oiaf/ieo
- [EIU] http://www.eiu.com, Economist Intelligence Unit, accessed on 05/09/06
- [AFREN] http://www.africa-energy.com/html/public/data/eq-guinea.html, accessed on
10/09/06
- [HEL] Strategic study of Wind Energy Deployment in Africa, published in March 2004, by
Hélimax Énergie, available online at http://www.afdb.org
- [STA] http://www.state.gov/r/pa/ei/bgn/7221.htm, State Department, Background,
accessed on 05/09/06
- [MBENDI] http://www.mbendi.co.za/indy/oilg/af/eq/p0005.htm, “Equatorial Guinea: Oil
and Gas” report, accessed on 05/09/06
- [AMPCO] http://www.atlanticmethanol.com/, accessed on 07/09/06
- [MAR] http://www.marathon.com, Marathon Oil Corporation, Our_Business>
Marathon_Oil_Company> Integrated_Natural_Gas> Liquefied_Natural_Gas and
Equatorial_Guinea, accessed on 07/09/06
- [NOB] Noble Energy, http://www.nobleenergyinc.com/neiweb/international.htm#eg,
accessed on 08/09/06
- [WRI] http://wri.org/, World Resources Information, Earthtrends, Searchable Database,
accessed on 08/09/06
- [TI05] Corruption Perceptions index 2005, available online at
http://www.transparency.org/policy_research/surveys_indices/cpi/2005, accessed on
17/09/06
- [EQOIL] http://www.equatorialoil.com, accessed on 08/09/06
o [EQOILa], Petroleum > Technical Review
o [EQOILb] Petroleum > License map, License map showing exploration wells,
May 2006
o [EQOILc] Petroleum > Activity map, Activity map, May 2006
- [EQOIL06] http://www.equatorialoil.com/2006-round/ accessed on 12/09/06, site
dedicated to the 2006 licensing round
- [WEO] http://www.imf.org/external/pubs/ft/weo/2006/02/data/index.htm, World Economic
Outlook Database, September 2006 Edition, accessed on 17/09/06
- [IMF] http://www.imf.org, International Monetary Fund, Country Info, accessed on
14/09/06
o [IMFa], WORLD ECONOMIC OUTLOOK Database, April 2006, accessed on
15/09/06
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5 Annex
Figure 6 Map of Exxon - largest operator (71%)- operations; map available at the
company site