Equatorial Guinea is ripe for investment. "Equatorial Guinea is undoubtedly a country of double-digit growth," Dr. Alirio Parra of CWC Associates Ltd. told participants at the GEPetrol conference in Houston. Looking to 2004, estimates place annual growth for EG at 12%, Parra said.
Hydrocarbons have paved the way for development. "Oil is the engine of growth for Equatorial Guinea," Parra said.
According to Santiago Mba Ebana, secretary general of Equatorial Guinea's ministry of mines and energy, estimated capital expenditure in the 2002-2005 timeframe will total $5 billion.
Parra noted the country's success in administering a relatively new industry in EG and commended the government for its foresight. Parra pointed out that though offshore production is now limited to oil, the EG government administration is already addressing the next phase of hydrocarbon development � gas commercialization.
"Equatorial Guinea has issued a clear 'no' to flaring and a clear 'yes' to industrialization of the resource base," Parra said. He pointed to EG's move to develop an LNG plant as yet another significant sign of forward-looking development.
Part of the impetus for developing LNG is the growing worldwide demand for gas. Certainly, the US energy need is growing, and the country is actively looking for secure sources of oil and gas.
Vicky Bailey, assistant secretary of the office of policy and international affairs at the US Department of Energy, confirmed this view. "Reliable and affordable energy is key to our security," Bailey said, "and a sizable resource potential exists in Equatorial Guinea."
11/18/03
