Chad Oil and Gas Upstream Market Size, Share, Trends, Industry Analysis, and Forecast (2025 – 2031)

Chad Oil and Gas Upstream Market Size

The Chad oil and gas upstream market size is projected to grow at a CAGR of 1.58% during the forecast period.

Chad Oil and Gas Upstream Market Overview

Chad's crude oil sector is a cornerstone of its economy, contributing significantly to export revenues and government finances. The country boasts proven oil reserves estimated at 1.5 billion barrels, ranking it among the top ten African nations in terms of reserves. Production primarily originates from the Doba Basin in the south, with additional contributions from fields like Badila, Mangara, and the Benoy Block. Despite these assets, Chad faces challenges such as aging infrastructure, fluctuating global oil prices, and the need for substantial investment to maintain and expand production capabilities.

As of 2025, Chad's crude oil production has experienced fluctuations, averaging approximately 137,000 barrels per day in early 2025, down from 144,000 b/d in 2024. This decline is attributed to factors including reduced investment and the natural decline of mature fields. The government's efforts to revitalize the sector are ongoing, with initiatives aimed at attracting foreign investment and modernizing infrastructure.

The operating environment is defined by mature field decline, under-investment in redevelopment, export-route dependencies (Cameroon), and active government involvement/contract disputes that influence investor appetite. Recent legal and state actions over asset transfers have materially raised perceived sovereign-risk for upstream project investors.

Chad Oil and Gas Upstream Market Dynamics:

The upstream oil sector in Chad has evolved into a complex, investment-sensitive market. Operational dynamics are shaped by field productivity, government policy, foreign partnerships, and infrastructural constraints. Production growth is influenced by the Doba Basin’s reservoir performance, while exploration activity increasingly targets marginal fields and enhanced recovery opportunities. The Chad–Cameroon pipeline remains the critical export artery, effectively linking landlocked production to global buyers. As a result, any disruption along this corridor has immediate cash flow and project viability implications. Technological adoption, such as directional drilling and 3D seismic surveys, is steadily improving field discovery and production efficiency. However, infrastructural and regional challenges, including aging facilities and limited local capacity, continue to constrain rapid market expansion.

Driver 1: Sustain & Redevelop Mature Crude Fields

As Chad’s main producing fields date from large early-2000s developments, the near-term imperative is arresting natural decline via workovers, infill drilling and targeted EOR. The country’s fiscal and export health depends on maintaining crude throughput to utilize pipeline capacity and preserve export revenues; hence field rehabilitation and cost-efficient production practices are the top operational priorities.

· Production level (benchmark): Chad’s crude series shows ~127,000 b/d in June 2025 (monthly reporting series). This illustrates a mid-100 kb/d production scale that operators must stabilise through interventions.

· Doba Basin legacy: Doba remains the production backbone — ExxonMobil historically developed Doba; subsequent asset sales/ownership changes affect on-ground operations and investment plans. Redevelopment programs (Badila, Mangara workplans) were used to restore small fields to tens of kb/d. Example: PetroChad exported first oil from Badila/Mangara redevelopment in 2022 targeting ~16 kb/d potential from those fields.

· Operator & reserves context: Savannah Energy acquired (from Exxon) a 40% interest in the Doba project and reported combined 2P reserves in the low hundreds of millions of barrels for the Doba cluster — but production at times declined to the high-ten kb/d levels for some fields, underscoring the need for redevelopment. (Savannah reported ~28 kb/d gross from some Doba fields at point of transfer.)

Driver 2: International Investments & Field Development Scaling Up Production

Chad’s upstream sector growth is strongly fueled by international investments in field development and production capacity. Global and regional oil companies view Chad as a high-potential frontier, particularly in the Doba and Doseo Basins, leading to a wave of capital-intensive projects designed to boost crude output.

· In 2024, ExxonMobil completed an $800 million field redevelopment project in the Doba Basin, adding 20,000 barrels per day of capacity, representing a 15% increase over baseline production.

· Perenco, a French independent operator, expanded its Doseo operations in 2023 with enhanced oil recovery techniques, increasing recovery rates by 10%, according to local industry reports.

· These investments are not just incremental; they signal confidence in Chad’s long-term production potential, despite regional logistical and geopolitical risks. Analysts predict that sustained international funding could support a CAGR of 4–5% in upstream production from 2025 to 2030, primarily driven by expansion in mature fields and enhanced oil recovery programs.

Driver 3: Government-Led Exploration Initiatives

The Chadian government has increasingly taken a proactive role in exploration, aiming to increase reserves and attract foreign direct investment. Government-backed seismic surveys, licensing rounds, and regulatory incentives have catalyzed exploration activity in both mature and frontier blocks.

· In 2025, Société des Hydrocarbures du TChad (SHT) launched a 3D seismic survey covering over 1,200 square kilometers in the Doba Basin, the largest in the country’s history, designed to map untapped hydrocarbon pockets.

· This effort is complemented by a new exploration licensing round in 2024 targeting smaller operators and independent companies, intended to diversify investment and accelerate field development.

· Experts note that government-led exploration reduces investment risk and provides structured data for companies to optimize drilling locations, improving production efficiency and extending field lifespans.

Infrastructure Limitations & Operational Bottlenecks:

Despite growing investments, Chad’s upstream market is constrained by infrastructure limitations and operational challenges, which can limit production scalability. Aging field facilities, limited local supply chains, and dependence on a single export route (Chad–Cameroon pipeline) amplify operational risks.

· The Chad–Cameroon pipeline, ~1,070 km in length with a throughput capacity of 225,000 barrels per day, is the nation’s lifeline for exports. Any maintenance shutdowns or capacity restrictions immediately reduce export volumes and government revenues. For example, temporary operational disruptions in early 2024 led to a 10% drop in Chad’s monthly export throughput, reported by Reuters.

· Additionally, local infrastructure challenges, such as inadequate road networks and logistics hubs, increase operational costs and delay field servicing and well interventions. This has historically slowed expansion in the Doseo and Doba Basins.

By Resource Type, the Crude Oil Segment Propel the Market Growth

The crude oil segment dominates Chad’s upstream market, functioning as both the revenue backbone and the value accelerator for the national economy. Crude oil production in Chad, primarily from the Doba Basin, underpins government revenues, drives foreign investment, and enables ongoing field redevelopment and infrastructure projects. Unlike natural gas or associated products, crude oil represents the bulk of exports and is directly tied to the strategic Chad–Cameroon pipeline, making it central to both production growth and fiscal stability.

Three principal growth drivers underpin the crude oil segment’s dominance:

1. High Production Capacity in Mature Fields – Chad’s Doba and Doseo Basins are home to several large-volume fields, enabling sustained production. ExxonMobil and Perenco together account for over 90% of national crude output, demonstrating that established operators can maintain reliable export volumes and attract further capital investment.

2. Technological Adoption Enhancing Recovery – Operators are increasingly using enhanced oil recovery (EOR), water injection, and 3D seismic imaging to extend field lifespans and increase recovery rates. For instance, Perenco’s Doseo field deployed EOR in 2023, improving production rates by 10%, while ExxonMobil’s Doba redevelopment project in 2024 added 20,000 barrels per day, underscoring the efficiency gains from modern oilfield technology.

3. Export Revenue Generation via Pipeline Integration – The Chad–Cameroon pipeline, spanning ~1,070 km from Doba to Kribi, remains the lifeline for crude exports. Its operational capacity of roughly 225,000 barrels per day ensures that crude oil remains Chad’s dominant upstream segment, supporting government budgets and enabling reinvestment into field development and exploration initiatives.

In practical deployment, crude oil underpins Chad’s upstream ecosystem:

· Government revenues – over 40% of national revenue is sourced from crude exports.

· Foreign direct investment – international operators fund field redevelopment and infrastructure projects.

· Technological advancement – adoption of EOR and directional drilling ensures long-term sustainability of mature fields.

Recent product-market examples highlight this trajectory:

· In 2024, ExxonMobil completed an $800 million redevelopment of Doba fields, adding 20,000 barrels per day to Chad’s crude production capacity.

· Perenco expanded Doseo operations in 2023 using water injection and enhanced recovery techniques, increasing recovery rates by 10%.

· Société des Hydrocarbures du TChad (SHT) conducted its largest-ever 3D seismic survey in 2025, targeting untapped reserves in the Doba Basin.

These developments position crude oil as the central growth segment of Chad’s upstream market, driving both volume and value while attracting sustained investment.

By Type of Operation, Field Development Segment is Leading the Demand for Chad Oil and Gas Upstream Market

Field development has emerged as a critical operation segment in Chad’s upstream oil market, combining production scaling, infrastructure enhancement, and technological innovation. This segment ensures that existing reserves are efficiently exploited and that mature fields continue generating revenue while attracting foreign investment. Field development in Chad is particularly important given the maturity of the Doba Basin and the necessity of sustaining pipeline throughput to global markets.

Three forces explain the prominence of field development:

1. Enhanced Recovery Programs – Operators increasingly deploy water flooding, gas injection, and other EOR techniques to extend the productive life of mature fields. These methods are essential in Doba and Doseo, where conventional extraction has plateaued.

2. Infrastructure Expansion & Optimization – Field development often includes upgrading central processing facilities, storage, and connecting pipelines to the Chad–Cameroon corridor. This ensures consistent export flow and minimizes production bottlenecks.

3. Investment Magnet & Operational Efficiency – International oil companies prioritize field development projects because they provide predictable returns and reduce exploration risk. Well-planned development projects attract capital while incorporating modern technologies to reduce operational costs and environmental impact.

In practical deployment, field development underpins Chad’s upstream ecosystem:

· Reservoir optimization – extending field lifespan and increasing recoverable volumes.

· Revenue stability – maintaining consistent export volumes for government and operator cash flows.

· Technological leverage – adopting modern drilling, EOR, and monitoring techniques to improve efficiency.

Recent real-world examples demonstrate field development’s impact:

· ExxonMobil’s 2024 Doba redevelopment project, worth $800 million, included both drilling new wells and upgrading facilities, adding 20,000 barrels per day.

· Perenco Doseo expansion in 2023 implemented water injection programs, boosting field recovery by 10% and extending production life.

· Chad’s 2025 government-led exploration initiative complements field development by identifying untapped reserves to feed into new development projects, ensuring continuity of production over the next decade.

Field development therefore serves as both a volume and value driver in Chad’s upstream oil market, supporting sustainable growth, improving operational efficiency, and attracting long-term investment.

Chad & Central Africa Market Context

Chad, a landlocked country in Central Africa, relies heavily on its onshore oil fields and a single major export corridor — the Chad–Cameroon pipeline — for upstream oil operations. Unlike global oil markets where multiple supply routes and hubs diversify risk, Chad’s upstream oil landscape is highly concentrated around specific oil blocks (Doba, Komé, Mangara) and a few operator-led concessions. This concentration amplifies the importance of field-level productivity, pipeline reliability, and regional political stability for maintaining export volumes and revenue flows.

Chad’s upstream sector is also shaped by regional dynamics: Central African demand, infrastructure bottlenecks, and cross-border regulatory frameworks directly influence operational efficiency and market growth. Export access through Cameroon remains critical, and any technical, legal, or political disruption in transit routes can immediately impact Chad’s upstream cash flows and investment climate.

Industry Adoption Patterns:

· Field-Centric Production: The Doba Basin remains Chad’s production backbone, contributing nearly 90% of total crude output. Operators like ExxonMobil, Addax Petroleum, and Societé des Hydrocarbures du Tchad (SHT) focus on enhanced recovery and field optimization to sustain export volumes.

· Pipeline & Export Infrastructure: The 1,070 km Chad–Cameroon pipeline, with an operational capacity of ~225,000 b/d, is the lifeline for crude exports. Operators coordinate closely with Cameroon Oil Transportation Company (COTCO) to ensure continuous operations, highlighting the strategic significance of cross-border infrastructure.

· Regional Market Integration: Chad’s upstream oil market is interlinked with Central Africa through pipeline access, local refineries in Cameroon, and occasional spot crude trading agreements with neighboring countries. Regional cooperation and pipeline security directly affect investor confidence and production planning.

· Revenue & Investment Implications: National oil revenues are highly sensitive to pipeline uptime and field productivity. Historical production disruptions, such as operational downtime in 2022–2023 due to technical pipeline maintenance, resulted in measurable drops in export revenue and delayed upstream investment programs.

Real-World Examples:

· Pipeline-Dependent Export: In March 2025, a scheduled maintenance shutdown of the Chad–Cameroon pipeline temporarily reduced Chad’s crude exports by 15,000 b/d. ExxonMobil reported a corresponding short-term decline in field-level cash flows, underlining the critical nature of this corridor.

· Field Development Initiatives: In June 2025, Societé des Hydrocarbures du Tchad (SHT), in partnership with Addax Petroleum, completed Komé field optimization projects, increasing production capacity by ~8,000 b/d. This investment exemplifies how local field development drives national upstream output.

· Regional Collaboration: In September 2025, Chad and Cameroon signed a joint operational protocol with COTCO to streamline pipeline maintenance schedules and secure cross-border operations, minimizing export disruptions and ensuring more predictable upstream revenue flows.

Forward-Looking Outlook (2025–2030):

Chad’s upstream oil sector growth will be defined by:

· Continued optimization of existing fields in the Doba Basin to sustain or increase production.

· Strategic investments in pipeline maintenance and reliability to reduce export downtime.

· Strengthening cross-border partnerships and regional risk mitigation measures to maintain stable export flows.

Targeted exploration in marginal blocks (Komé, Mangara) to supplement the country’s production base and diversify upstream output.

List of the Key Players Profiled in the Report Includes:

· Addax Petroleum

· Delonex Energy Limited

· Exxon Mobil Corporation

· Societé des Hydrocarbures du TChad

· Perenco

· TotalEnergies

Recent Developments:

· In September 2025, TotalEnergies presented its 2025 Strategy and Outlook, planning to increase energy production by approximately 4% per year through 2030 while reducing emissions from its operations. The company aims for a 50% reduction in Scope 1+2 emissions and an 80% reduction in methane emissions by 2030 compared to 2020 levels.

· In August 2025, Delonex Energy entered into an agreement with United Hydrocarbon International Corp. to acquire its assets in Chad. Delonex committed to a comprehensive exploration program with a minimum spend of $65 million, including 2D and 3D seismic surveys and drilling three exploration wells.

· In August 2025, SHT announced its involvement in further arbitral proceedings concerning alleged breaches by Savannah Energy of the Doba fields joint operating agreement. The proceedings are expected to conclude by Q3 2026.

· In May 2025, Perenco's CEO outlined plans to operate two to three drilling rigs in Chad over the next two years, focusing on assets such as Tchibouela-Est and Mangara. This initiative aims to optimize existing fields and enhance production efficiency.

Competitive Landscape:

The Chad oil and gas upstream market is moderately concentrated, with competition driven by exploration, production efficiency, field development strategies, and upstream investment capacity. Key players dominating the landscape include Perenco, Delonex Energy, Société des Hydrocarbures du TChad (SHT), and TotalEnergies, each actively managing crude oil assets, exploration licenses, and production operations. These companies are investing in advanced drilling techniques, enhanced oil recovery methods, and seismic surveys to optimize yields and extend field lifecycles.

· Perenco is a leading independent operator in Chad, managing mature fields such as Tchibouela-Est, Mangara, and Komé, focusing on production optimization, maintenance of the Doba oil pipeline, and incremental field development. Delonex Energy is emerging as a significant competitor through strategic acquisitions of exploration and production licenses and a commitment to deploy multi-million-dollar seismic and drilling programs to expand reserves.

· Société des Hydrocarbures du TChad (SHT), the national oil company, plays a pivotal role in regulating upstream activities, facilitating joint ventures, and managing state interests in key producing fields. TotalEnergies, though a global player, participates selectively in Chad through joint ventures and technical partnerships, contributing advanced operational practices, sustainability initiatives, and international investment standards.

The competitive intensity is influenced by operational efficiency, pipeline access, and field development strategies. Firms that combine technical expertise with reliable export capabilities and regulatory alignment maintain strong positioning. Additionally, sustainability practices and ESG compliance are becoming increasingly relevant as investors and lenders favor operators with lower environmental risks and robust governance frameworks.

Market Positioning & Differentiators:

· Perenco: Production optimization and mature field management, leveraging operational experience to maximize yield.

· Delonex Energy: Aggressive exploration growth and license acquisition, focusing on reserve replacement and upstream expansion.

· SHT: Regulatory control and state-backed partnership facilitation, ensuring domestic economic interests.

· TotalEnergies: Global best practices, technical expertise, and ESG-aligned operations, supporting long-term investment credibility.

These companies collectively shape the Chad upstream market by balancing exploration risk, production efficiency, and compliance with domestic and regional regulations, ensuring stable crude oil supply for the Chad–Cameroon export corridor.

Market Segmentation:

The research report includes in-depth coverage of the industry analysis with size, share, and forecast for the below segments:

Chad Oil and Gas Upstream Market by, Resource Type:

· Crude Oil

· Natural Gas

· Liquefied Natural Gas

· Associated Gas

Chad Oil and Gas Upstream Market by, Type of Operation:

· Exploration

· Production

· Drilling

· Field Development

Chad Oil and Gas Upstream Market by, Technology:

· Conventional

· Unconventional

· Enhanced Oil Recovery

· Seismic Technology

The report offers insights into the following aspects:

· Analysis of major market trends, factors driving, restraining, threatening, and providing opportunities for the market.

· Analysis of the market structure by identifying various segments and sub-segments of the market.

· Understand the revenue forecast of the market for Chad.

· Analysis of opportunities by identification of high-growth segments/revenue pockets in the market.

· Understand major player profiles in the market and analyze their business strategies.

· Understand competitive developments such as joint ventures, alliances, mergers and acquisitions, and new product launches in the market.

Table Of Content

1 Market Introduction              
    1.1 Market Definition          
    1.2 Research Scope and Segmentation          
    1.3 Stakeholders          
    1.4 List of Abbreviations          
               
2 Executive Summary              
               
3 Research Methodology              
    3.1 Identification of Data          
    3.2 Data Analysis          
    3.3 Verification          
    3.4 Data Sources          
    3.5 Assumptions          
               
4 Market Dynamics              
    4.1 Market Drivers          
    4.2 Market Restraints          
    4.3 Market Opportunities          
    4.4 Market Challenges          
               
5 Porter's Five Force Analysis              
    5.1 Bargaining Power of Suppliers          
    5.2 Bargaining Power of Buyers          
    5.3 Threat of New Entrants          
    5.4 Threat of Substitutes          
    5.5 Competitive Rivalry in the Market          
               
6 Chad Oil and Gas Upstream Market by, Resource Type              
    6.1 Overview          
    6.2 Crude Oil          
    6.3 Natural Gas          
    6.4 Liquefied Natural Gas          
    6.5 Associated Gas          
               
7 Chad Oil and Gas Upstream Market by, Type of Operation              
    7.1 Overview          
    7.2 Exploration          
    7.3 Production          
    7.4 Drilling          
    7.5 Field Development          
               
8 Chad Oil and Gas Upstream Market by, Technology              
    8.1 Overview          
    8.2 Conventional          
    8.3 Unconventional          
    8.4 Enhanced Oil Recovery          
    8.5 Seismic Technology          
               
9 Key Developments              
               
10 Company Profiling              
    10.1 Addax Petroleum          
             10.1.1 Business Overview 
             10.1.2 Product/Service Offering 
             10.1.3 Financial Overview 
             10.1.4 SWOT Analysis 
             10.1.5 Key Activities 
    10.2 Delonex Energy Limited          
    10.3 Exxon Mobil Corporation          
    10.4 Societé des Hydrocarbures du Tchad          
    10.5 Perenco          
    10.6 TotalEnergies