Cameroon was the only country in sub-Saharan Africa to have pioneered large-scale floating liquefaction of natural gas. Since 2018, the Hilli Episeyo floating unit, operated by Golar LNG, had been transforming associated gas from oil fields into liquefied natural gas (LNG) for export.
This infrastructure played a crucial role in monetizing the country’s gas resources, with an average annual production of 1.2 million tons of LNG and a record 100% availability rate. Its departure comes at a time of high global demand for LNG, but also increased reliance on external infrastructure to exploit Cameroon’s reserves.
The Hilli Episeyo, Cameroon’s only floating natural gas liquefaction unit, has left Cameroonian waters after eight years of service. The unit produced an average of 1.2 million tons of LNG per year with 100% availability. Cameroon’s oil and gas activity is expected to decline by 24.6% in 2027, primarily due to reduced gas production. The departure of the Hilli Episeyo strips Cameroon of a key outlet for monetizing its associated gas, increasing the risk of flaring. The government has yet to announce a replacement strategy for this infrastructure.
The departure of the Hilli Episeyo is not just a technical setback but a strategic challenge for Cameroon. Losing this infrastructure leaves the country in a vulnerable energy position, even though its gas reserves remain substantial. Floating liquefaction had provided a flexible and rapid solution to utilize associated gas from oil fields, avoiding flaring and generating state revenue.
This situation also highlights the limitations of exploitation models reliant on external infrastructure. Like many African nations, Cameroon often depends on international partners to develop its resources. The exit of the Hilli Episeyo raises questions about energy sovereignty: how can the country secure its gas revenues without depending on foreign technology or operators?
In the longer term, this crisis could accelerate plans for onshore liquefaction, but such projects require massive investments and longer lead times. For now, Cameroon must find solutions to prevent gas flaring and sustain its export revenues.
In the short term, Cameroon risks a significant drop in gas revenues, directly impacting the state budget. The projected 24.6% decline in oil and gas activity by 2027 could also affect the country’s trade balance, already weakened by other economic challenges.
From an energy perspective, the departure of the Hilli Episeyo may lead to increased flaring of associated gas—a practice harmful to the environment and costly in terms of lost resources. To avoid this, the government will need to either quickly renegotiate a new deal with a floating operator or fast-track onshore liquefaction projects, such as the one planned in Kribi.
The departure of the Hilli Episeyo marks the end of an era for Cameroon’s gas sector but also underscores the urgent need to rethink the country’s energy strategy. While this crisis exposes the challenges of dependence on external infrastructure, it also presents an opportunity to strengthen Cameroon’s energy sovereignty. The coming months will be decisive in determining whether the country can turn this challenge into a catalyst for sustainable development.
