In September, the Government of Liberia (GOL) officially signed four production sharing contracts (PSCs) with Atlas/Oranto Petroleum, granting the international oil company exploratory rights over four offshore blocks: LB-15, LB-16, LB-22, and LB-24, each with an estimated investment value of US$200 million. As required by law, the four PSCs were forwarded to the National Legislature for ratification.
However, the deal has come under strong criticism from the public since it was struck. Two recent critiques are from the former Speaker of the House of Representatives, Cllr. J. Fonati Koffa, and Gbarpolu County Senator, Amara Mohammed Konneh, who see the deal as a weak negotiation or absolute wickedness to the people of Liberia.
According to Senator Konneh, he spent Saturday reviewing the Oranto Petroleum and TotalEnergies Production Sharing Contracts submitted for ratification for the second time. He stated that the deal with TotalEnergies is acceptable, but his concerns about Oranto are substantial.
“The TotalEnergies deal seems solid, but the number of jobs it will create for Liberians and the timeline for implementation aren’t clear to me yet. Oranto, on the other hand, has serious questions about its history on the continent: it often secures licenses, then fails to explore or develop them for years—a pattern called ‘sit on licenses’. My research shows that Oranto holds agreements in Uganda, Senegal, and Equatorial Guinea,” Senator Konneh observed.
Senator Konneh added that Oranto’s inactivity jeopardizes the company’s license holdings, as seen with two blocks at risk of revocation by the Bassirou Faye Government in Senegal. In Liberia, he said, Oranto previously sold blocks to giants like Chevron for profit without exploration or benefits. “Oranto must answer these issues transparently,” he emphasized.
He said, while he is committed to supporting President Joseph Boakai’s investment agenda, he will demand that the Chairman of the committee, Senator Edwin Snowe, and members of the Senate Joint Committee responsible for reviewing these contracts conduct professional, comprehensive, rigorous due diligence on the Oranto deal.
He underscored that the Government of Liberia (GOL), not Oranto, must fund this process to ensure independence and integrity. “Liberia’s future depends on making informed, decisive actions—no room for uncertainty, complacency, or repeating past mistakes with the same actors. We want quality investments,” he added.
Also, the former Speaker of the House, Representative J. Fonati Koffa, has questioned the part of the GOL-Oranto deal that strips out the 5% rights of the citizens, and left the public to decide whether it is a weakness in negotiations or a form of wickedness.
Cllr. Koffa disclosed that the 2019 Petroleum Law, Section 36(a), says Liberians are entitled to receive 5% of each block, while NOCAL will receive 10%. Unfortunately, the Oranto agreement says NOCAL will get the 15% while Liberians are left with nothing, and if in 180 days after they find oil NOCAL does not speak for Liberians, Oranto gets the 15% free.
Representative Koffa recounted that in 2010 Atlas Oranto Petroleum bought three oil blocks for just US$200,000 each, and then sold them to Chevron for over US$250 million in the same year. He said they are back again, and President Boakai has submitted their deal to the National Legislature.
“This time, I will not allow that to happen, not today. Liberia deserves better,” he noted.