Cameroon Loses Its Sole Natural Gas Liquefaction Facility as Hilli Episeyo Departs

Cameroon's energy future faces a significant setback as its only natural gas liquefaction facility, the Hilli Episeyo floating unit, has departed Kribi after eight years of operation. This departure is expected to contribute to a projected 24.6% decline in Cameroon's oil and gas sector activity by 2027, largely driven by a drop in national gas production. The Hilli Episeyo unit, operated by Golar LNG, maintained a 100% availability rate, producing an average of 1.2 million tons of liquefied natural gas (LNG) annually. This LNG was destined for export, directly boosting state revenues and adding value to Cameroon's associated gas. Its exit signifies the end of an era for the country, which was the sole nation in sub-Saharan Africa to experiment with large-scale floating gas liquefaction. This development comes at a critical juncture. With global LNG demand remaining strong and prices remunerative, Cameroon is losing a key outlet for monetizing its gas. The absence of local liquefaction infrastructure means the country must either renegotiate agreements with another floating operator or expedite longer-term onshore projects. The government has yet to announce its strategy for replacing the facility. Experts highlight that the departure of the Hilli Episeyo raises questions about energy sovereignty. Cameroon possesses substantial gas reserves but lacks the continuous infrastructure needed for processing and export. The void left by the Hilli Episeyo is already impacting 2027 forecasts, underscoring the urgency of investment to prevent the nation's gas potential from remaining underutilized.