Multi-millionaire Arthur Eze’s Oranto faces fresh setback as South Sudan cancels oil licence over stalled exploration

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South Sudan has declined to renew the Block B3 exploration licence held by Oranto Petroleum, citing years of inactivity, including the failure to conduct seismic surveys, drill any wells, or meet key financial obligations since 2017, according to the Ministry of Petroleum.

South Sudan has declined to renew the Block B3 exploration licence held by Oranto Petroleum, citing years of inactivity, including the failure to conduct seismic surveys, drill any wells, or meet key financial obligations since 2017, according to the Ministry of Petroleum.

The decision strips Oranto of a 24,000-square-kilometre oil block it secured in 2017, with a pledged $500 million investment for exploration and development. Nearly nine years later, no exploration wells had been drilled, despite the block being located in a region believed to hold significant hydrocarbon potential.

The ministry said Block B3 is now open for new applications and will be allocated to investors who demonstrate strong technical capacity, financial commitment, and compliance with regulatory timelines.

Broader setbacks across Africa

The move adds to a growing list of setbacks for Oranto Petroleum and its affiliated oil interests. In recent years, the company has also faced licence cancellations and disputes across several African markets, raising concerns over its execution record in upstream oil and gas projects.

In a separate case, the government of Senegal revoked Oranto-linked offshore exploration rights after the company reportedly failed to provide required bank guarantees and carried out limited exploration work since the licence was awarded in 2008, despite multiple extensions.

That block, located offshore near Dakar, had been considered prospective but remained largely unexplored, with seismic studies identifying potential hydrocarbon structures but no drilling activity.

Earlier reports also indicated that Oranto’s interests in other African oil and gas assets have come under pressure. In Equatorial Guinea, a licence linked to its broader portfolio was affected by a dispute involving the operator Chevron, while in São Tomé and Príncipe, the company reduced its exposure through a farm-down deal with Petrobras, which assumed operatorship in a restructured joint venture.

Industry analysts note that Oranto has historically pursued a pan-African exploration strategy, acquiring early-stage licences and partnering with larger international oil companies to develop them. However, recent licence losses highlight increasing regulatory scrutiny across African energy markets, where governments are demanding faster execution, stronger financing guarantees, and clearer development timelines from exploration firms.

Source: https://africa.businessinsider.com/local/markets/multi-millionaire-arthur-ezes-oranto-faces-fresh-setback-as-south-sudan-cancels-oil/q1xx1z0