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Press Release (22)
REOI to conduct Pre-qualification for Direct Negotiations
Please click Here to access the REOI
Government of Liberia Amends the New Petroleum (Exploration and Production) Reform Law, 2014
The President of the Republic of Liberia has signed into law an amendment to the New Petroleum Reform Law of 2014 removing structural inconsistencies and unconventional practice for the purpose of optimizing performance within the sector. Additionally, the amendment conforms to best international practice and responds to the national circumstances.
The new law, titled, “An Act to Amend CERTAIN PROVISIONS OF THE NEW PETROLEUM (EXPLORATION AND PRODUCTION) REFORM LAW OF LIBERIA, 2014” integrates key administrative and operational changes affecting the structure of the Board of Directors of the Liberia Petroleum Regulatory Authority (LPRA), configuration of block sizes, Liberian citizen participation, and systems/forms of granting petroleum rights. Specifically, the amended version of the law increases the board members of the Authority from three (3) to five (5). In addition, the amended Act requires that “the Surface of offshore blocks shall not exceed 3,500 sq.km and the surface of onshore blocks shall not exceed 2,000 sq.km.” This is a change from the previous size allowing for a maximum of 2,000 sq.km for offshore and maximum of 1,000 sq.km for onshore areas.
Article 14 of the 2014 petroleum was amended in respect to granting petroleum rights. Previously, the 2014 law allows for the granting of petroleum rights, in terms of production sharing agreements, only through competitive bidding. Considering the lack of commercial discovery to date and the dormant state of the petroleum sector since 2016, the need to re-evaluate the country’s ability to attract international investors was key to providing different forms or systems through which petroleum rights are granted. Keeping this in mind, the President of Liberia, Dr. George M. Weah, agreed with the Second Session of the Fifty-Fourth (54th) Legislature allowing for petroleum rights (petroleum sharing agreement) to be granted through 1) International Competitive Bidding, 2) Direct Negotiation, or 3) Executive Allocation to NOCAL. Under the new law, the Liberia Petroleum Regulatory Authority (LPRA) is allowed to grant petroleum rights either through competitive bidding or in special cases, through direct negotiations following prequalification of interested investors. LPRA is also allowed to negotiate petroleum sharing agreement with NOCAL following declaration of an Executive Allocation by the President of Liberia.
The new amendment ushered in a watershed moment for the petroleum sector which has since been non-active for the past years. Following the signing of the amended act, LPRA will now commence the process of ensuring that the entire offshore acreage (all blocks) are aligned with the requirements of the new law. After the re-demarcation exercise, which is expected to commence immediately or anytime soon, the next step will be to open the blocks for international tender (bid rounds) and solicit requests from investors for direct negotiations, where applicable.
It can only be anticipated that the amended law will attract investment within the sector thus, increasing Liberia’s hope of making a commercial discovery, something that could boost the economy and promote the Pro-Poor Agenda for Prosperity and Development (PAPD).
Call for proposals to develop regulation relating to Liberian Business Participation in the upstream petroleum sector
The Liberia Petroleum Regulatory Authority seeks an external consultant (firm) to develop regulation relating to Liberian Business Participation as indicated in the Terms of Reference. Please click here to access the TOR.
Call for proposals to develop regulation on beneficial ownership for the upstream petroleum sector in Liberia
The Liberia Petroleum Regulatory Authority seeks an external consultant (firm) to develop regulation relating to declaration of beneficial ownership as indicated in the Terms of Reference.Please click here to access the TOR..
The Liberia Petroleum Regulatory Authority has issued a new Regulation 0001/LPRA/19 describing the requirements for Reconnaissance License to conduct preliminary geological, geophysical, geotechnical and geochemical assessment of a desingated area. The regulation covers all interests and applications for onshore reconnaissance operation. To access the regulation, please click here
July 9, 2019; Monrovia, Liberia. The Liberia Petroleum Regulatory Authority (LPRA) has refuted and categorially denied media publications of a major oil discovery in Gbarnga specifically along the Jor River. The LPRA refers to the front-page captions in the printed edition of the Heritage Newspaper “Crude Oil Discovered in Bong, But…” and the online edition of the Analyst Newspaper “Crude Oil Discovered in Bong? -DEECO Oil and Gas Ltd Wants Bongese to pray for commercial quantity” respectively, are untrue, false and misleading.
The LPRA is the statutory government entity responsible to grant petroleum rights and supervise all activities relating to the upstream petroleum sector. Being mindful of its core values and responsibility to efficiently and transparently manage the sector, LPRA granted DEECO Liberia Limited, a subsidiary of DEECO Oil and Gas Limited (registered in Nigeria), a Reconnaissance License (No. LPR-001: Seismic Data Acquisition and Technical Evaluation) to collect preliminary geological and geophysical data within Jorquelleh District along the Jor River. Keeping within the New Petroleum (Exploration and Production) Reform Law of 2014. Our record shows that DEECO has not commenced any operation within Liberia regarding its obligation under the license but informed LPRA that it is mobilizing efforts (financially and technically) to commence seismic data acquisition and technical evaluation in keeping with the Petroleum Law and the Reconnaissance License.
DEECO has further notified LPRA that it did not release any information to the media or individual relating to oil discovery in Gbarnga in consideration that its operations have not commenced and there is possibility of making a discovery at this stage of reconnaissance. In its statement issued to the press on Monday, July 8, 2019 and published on the front-page of the Inquirer Newspaper, the Chairman of DEECO expressly noted that “I told them that DEECO had only acquired a Reconnaissance License few weeks ago from the Liberian Petroleum Regulatory Authority and is mobilizing all efforts to commence the work program as stipulated in the license. I re-iterated that it is only after we have conducted seismic survey and hopefully drilled exploratory wells that a test may confirm oil in commercial quantity.” In response to this statement, LPRA informs the public that under the reconnaissance license, DEECO is not authorized to engage in exploratory drilling as such rights are granted through a Petroleum Sharing Agreement in conformity with the Petroleum Law, 2014. Under this reconnaissance license, DEECO is required to conduct Acquisition, Processing and Interpretation of Full Tension Gravity Gradiometry (FTG); 2D Seismic Survey of minimal 100 to 200 km; and 3D as both LPRA and DEECO may agree.
There are many stages in oil and gas development paradigm. It starts with prospecting, which includes seismic survey and later exploratory drilling, appraisal, development, production and abandonment. Any chance of oil discovery is only made at the exploration drilling and appraisal stages. In consideration that DEECO is beginning to commence data (seismic) acquisition, it is impossible for any determination of an oil discovery.
LPRA encourages the public to continue reading its website (www.lpra.gov.lr) for regular updates on its operations relating to the oil and gas program in Liberia.
Solicitation of Comments on the Strategic Assessment of the Potential Economic, Environmental and Social Impacts of the Harper Basin
The Government of Liberia, through the Liberia Petroleum Regulatory Authority (LPRA), has completed a strategic assessment of the potential economic, environmental and social impacts of the Harper Basin in keeping with Section 13.1 of the New Petroleum (Exploration and Production) Reform Law, 2014. The Harper Basin, an area which has never been the subject of a petroleum agreement or a petroleum sharing contract, may be included in the impending Licensing Bid Round.
To this end, the government is soliciting comments from the public to review, comment and provide suggestions on the potential impacts and/or mitigation options. Comments, suggestions and inquiries may be submitted to the Authority’s Office on 18th Street, 2nd Floor, LIBTELCO Building or via email: This email address is being protected from spambots. You need JavaScript enabled to view it.. Alternatively, the public can call 0770110110 to submit comments/suggestions.
A dedicated team will be available to address your inquiries and record your recommendations. Kindly note that all comments must be submitted on or Before August 18, 2019.
To review the document, please click on this link
LPRA and NOCAL approve Transition Plan for the Upstream Petroleum Sector
Monrovia, Liberia. The Government of Liberia, through the Liberia Petroleum Regulatory Authority (LPRA) and the National Oil Company of Liberia (NOCAL) has taken tremendous steps toward rebuilding a vibrant and viable oil and gas program by improving governance, transparency, accountability and equity participation of all Liberians. In keeping with Section 78 of the Petroleum (Exploration and Production) Reform Act, 2014, the Government wishes to inform the public and its international partners that the Transfer Plan, referred to and required in the Petroleum Law, has been completed.
This signals two major milestones: 1) the full transfer of all regulatory functions from NOCAL to LPRA allowing NOCAL to focus on improving the commercial capabilities and promoting the government’s interest and citizen participation and 2) this allows for LPRA to immediately commence key activities leading to the bid activities of offshore acreages.
The President of the Republic of Liberia, H.E. Dr. George M. Weah, Sr. challenged the CEO of NOCAL and the Director-General of LPRA to engage with international oil companies and other global partners in building an economically successful and sustainable oil and gas sector, one that will maximize government take, ensure environmental sustainability, and equitable participation of all Liberians. The President further stressed that, “while the country is in desperate and dire needs to discover commercially viable quantity of oil, we must not lose sight of the attending consequences that could evolve when the right policies, regulations and laws are not developed or adhered to.” He finally cautioned the two entities, particularly NOCAL, to promote Liberian businesses and design a program towards improving capacities, building capabilities and managing expectation, which is in accordance to Article 7 of the NOCAL Act of 2016.
For his part, the Director General of LPRA expressed profound gratitude to the President, the CEO of NOCAL, and the Minister of State for the level of support and collaboration during the negotiation of the transfer plan which sets key objectives for the next steps in the context of reestablishing concrete programs and making the Liberia basin attractive to the global petroleum market. In her response, the CEO of NOCAL extended appreciation to the President for his confidence and provided assurance of NOCAL’s commitment to expanding the government commercial interest within its potential oil and gas resources as the short-term objective. NOCAL’s long term goals, she asserted, is to build a world class, top-notched oil and gas company with immense and competitive regional presence.
Liberia oil and gas program predates 1970s with considerable effort put into exploration programs. To date, there has been discovery of a working petroleum system less the presence of a commercially viable reservoir. The new focus will target this objective of locating any known reserve and exploit it for the benefits of all Liberians including unborn generation.