Cybele Energy has become the first African-owned company to secure an offshore oil block in Guyana after signing a petroleum agreement and receiving an exploration licence for the Shallow Water Block S7.
The move was driven by the company’s plan to expand African participation in global upstream oil and gas opportunities.
The agreement marked the direct entry of Ghanaian private capital into South America’s oil and gas sector, as Guyana continues to attract foreign investment following rapid growth in production.
The deal also reflected wider efforts to strengthen commercial links between Africa, South America and the Caribbean.
The Petroleum Agreement was signed on December 9, 2025, at the Pegasus Hotel in Georgetown, Guyana.
It covered Block S7, an offshore shallow-water block of about 2,000 square kilometres within Guyana’s expanding petroleum basin.
Under the production sharing agreement with the Government of Guyana, Cybele Energy received exploration and production rights to Block S7.
Preliminary assessments suggested the block could hold up to 400 million barrels of recoverable oil, subject to further seismic work and drilling.
The company paid a $17 million signing bonus to the Government of Guyana.
The agreement followed Guyana’s updated petroleum framework, which included a 10 per cent royalty, 10 per cent corporate tax and a 65 per cent cost recovery ceiling.
Cybele Energy also committed to comply fully with Guyana’s local content laws. These included planned investments in training, capacity building, healthcare, infrastructure and community development programmes.
The agreement was later presented at a press conference in Accra, on December 16 to highlight its trade and investment implications.
It was described as establishing a cross-border investment corridor between Ghana and Guyana.
Speaking at the event, Cybele Energy President Beatrice Mensah-Tayui, said the deal came at a time of major shifts in the global oil and gas industry.
She said Guyana had emerged as the world’s largest oil producer per capita and continued to attract international interest.
She said African companies were increasingly positioned to compete beyond the continent to take part in global energy markets.
“Cybele Energy’s entry into Guyana showed that African-owned companies could compete effectively in international oil and gas markets while contributing to development in host countries,” she said.
Exploration plans
Under the agreement, Block S7 entered its exploration phase, which was expected to last about five years.
The phase was expected to generate activity across upstream services, logistics and technical support sectors.
Mrs Mensah-Tayui said the project would be guided by a strict local content framework to ensure the participation of Guyanese businesses and professionals.
She said the company planned to focus on oil and gas, mining, technology and related industries.
“We planned to prioritise technology transfer, skills development and partnerships with local firms as part of our long-term strategy in Guyana,” she said.
Trade links
Mrs Mensah-Tayui said the partnership showed how Ghanaian firms could help reshape global trade routes through investment-led cooperation rather than extractive relationships.
“This partnership showed how Ghanaian enterprises could help reshape global trade routes through investment-led cooperation rather than extractive relationships,” she said.
The Head of Mission of the Commonwealth Enterprise and Investment Council, Dr John Apea, said the agreement reflected the benefits of trade within the Commonwealth.
He said intra-Commonwealth trade reached about $854 billion in 2022 and was projected to exceed $1 trillion by 2026.
He said official trade between Ghana and Guyana remained below one per cent of total trade for both countries, but the petroleum agreement marked the start of a deeper commercial relationship.
“What we witnessed was the beginning of a strategic partnership built on trust and sustained collaboration,” he said.
