Senegal as an LNG exporter? stranded asset risks in the transition
Since the discovery of large offshore oil and gas reserves in 2014, Senegal has set its hopes on fossil fuel export revenue to help fund its plans to become an emerging economy by 2035. Senegal is actively seeking investors to help develop its offshore oil and gas reserves – both for production and export infrastructure as well as domestic downstream use of fossil gas. Globally, the role of fossil gas and LNG is rapidly shrinking due to the rapid expansion of renewable energy and a growing recognition of the high climate impact of methane. The global transition to renewable energy is evident: renewables are increasingly the most competitive option for power generation around the world. More and more countries are also recognising that fossil gas and LNG have significant climate impacts, particularly up and midstream.
