Sao Tome and Principe may be poised for exploration revival

But optimism about island nation checked by competition around African upstream investment and history of false dawns

Sao Tome and Principe lies off the coasts of established oil producers Equatorial Guinea and Gabon. The island nation has yet to start producing its own crude, despite interest from major oil companies and some exploration success in past years. But recent announcements indicate renewed activity in the country’s upstream and suggest it might be making some progress towards joining the ranks of oil producers. Marking the first major development in years, in February Brazil’s Petrobras completed the acquisition of stakes in three operating blocks—10,11 and 13—and signed amended production-sharing contracts and joint operating agreements to join the various blocks’ respective consortiums. Follo