Local content in Senegal: what Law No. 2019-04 means for supply.
A plain-language explainer of Senegal’s framework for the hydrocarbons sector, and how Smartek works within it.
The concept
A share of the value that stays in Senegal.
Local content is the share of the oil and gas sector’s purchasing, jobs and skills that goes to Senegalese companies and Senegalese workers.
With production at Sangomar since June 2024 and the Greater Tortue Ahmeyim LNG project, Senegal has made it a pillar of its hydrocarbon policy. The authorities aim to raise local content to 50% of the value of hydrocarbon-related goods and services by 2030.
The reference texts
- Law No. 2019-04 of 1 February 2019 on local content in the hydrocarbons sector
- Decree No. 2020-2065 of 28 October 2020 on the participation of Senegalese companies in oil and gas activities
- Decree No. 2020-2047 on the National Local Content Monitoring Committee (CNSCL)
The legal framework
What Senegal’s law says
Law No. 2019-04 and its implementing decrees govern how operators and their contractors buy goods and services, recruit and train. The points that matter to a supplier:
- Three activity regimes. Decree No. 2020-2065 classifies subcontracting, service and supply activities as exclusive, mixed or non-exclusive. Unclassified activities fall under the non-exclusive regime and stay open to competition.
- Exclusive regime. Reserved for Senegalese companies: at least 51% of capital held by Senegalese nationals, more than 80% of management Senegalese, and at least 51% Senegalese staff.
- Mixed regime. A foreign company must partner with a local company within a Senegalese-law company, with minimum local participation of 5%, revisable by the CNSCL.
- Senegal-registered entities. Subcontractors, service providers and suppliers must be registered Senegalese-law companies that declare their beneficial owners, with limited exceptions.
- Jobs and training. The law gives priority to the Senegalese workforce and requires training and skills transfer.
- Monitoring. The CNSCL monitors local content implementation and the commitments of operators and their contractors.
Smartek and local content
Smartek complies with Senegal’s framework.
We know Senegal through our corridors, and we will work there with a local partner.
- Compliant. Our activity in Senegal is structured to comply with Law No. 2019-04 and its implementing decrees.
- Our corridors run through Senegal. The port of Dakar and the Dakar–Bamako corridor already carry our mining supply.
- With a local partner. Our activity in Senegal will be carried out with a Senegalese partner, within a Senegalese-law company.
- Local workforce and suppliers. We prioritise hiring and training Senegalese staff, and qualified Senegalese sub-suppliers.
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