Gambiaj.com – (DAKAR, Senegal) – The permanent secretary of Senegal’s Strategic Oil and Gas Guidance Committee, Khadim Bamba Diagne, has provided key insights into the revenue distribution from the country’s oil exploitation. Speaking on the television program Face to BL, Diagne explained that a significant portion of the income generated from oil sales is allocated to recovering the initial investments made by oil companies.

According to Diagne, 75% of the total revenue from oil sales—amounting to 595 billion CFA francs—is used by oil companies to cover their investment costs. The remaining 25% is then distributed, with 80% allocated to the oil companies, 18% going to Senegal’s national oil company, Petrosen, and the remainder directed to the state in the form of taxes.

“Of the 595 billion CFA francs in petroleum sales, I believe that the state will have no less than 70 billion CFA francs,” Diagne revealed.

This revenue-sharing arrangement has sparked discussions within the government, with Prime Minister Ousmane Sonko signaling his intent to renegotiate these contracts. The government of Senegal aims to secure a more favorable deal for the country, ensuring that a greater share of the country’s oil wealth benefits the national economy.

The announcement comes at a time of heightened state financial strains and scrutiny over resource management in Senegal, with growing calls for increased transparency and better returns from the nation’s natural resources. The success of any renegotiation could have significant implications for the country’s economic future.