2. 1 Agence de gestion et de coopération Sénégal – Guinée Bissau AGC 11th Africa oil and gas trade and finance Conference Nairobi 23-25 may 2007 L’Agence de gestion et de coopération entre le Sénégal et la Guinée Bissau A DYNAMYC EXAMPLE OF SUB- REGIONAL ECONOMIC INTEGRATION By Julio Mamadù BALDE By Julio Mamadù BALDE General Secretary of AGC NOT AN OFFICIAL UNCTAD RECORD

3. 2 SUMMARY I/ - HISTORIC OF BOUNDARY DISPUTE SETTLEMENT SENEGAL / GUINEE BISSAU II/- L’AGENCE DE GESTION ET DE COOPERATION ENTRE LE SENEGAL ET LA GUINEE-BISSAU III/- PETROLEUM SECTOR IV/- FISHERY SECTOR

4. 3   Senegal and Guinee-Bissau are two border countries linked by the history and the geography.   The first was colonized by France while the second was managed before the independence by Portugal. I/- HISTORIC

5. 4 I/- HISTORIC ( continuation )  After the BERLIN Conference on 26 february 1885,France and Portugal opened negotiations in october 1885,and agreed to conclude a Convention for the delimitation of French and Portuguese ‘’possessions’’ in West Africa.

6. 5 I/- HISTORIC ( continuation )  On 12 may 1886, the Convention was signed in Paris. It defined only the land border between the nowadays Guinee- Bissau and Senegal but not the maritime boundary

7. 6 I/- HISTORIC ( continuation )  In february 1958, the Portuguese government granted an hydrocarbon exploration concession to ESSO Company off the coast of what was then the Portuguese ‘’pronvince’’ of Guinee.  The concession raised a certain number of objections from the government of France.

8. 7  A proposal was made to Portugal to negociate a delimitation of the: - territorial waters; - and the continental shelf - territorial waters; - and the continental shelf between Portuguese Guinee and Senegal between Portuguese Guinee and Senegal  Negotiations were held in Lisbone (8-10 sept 1959) I/- HISTORIC (continuation)

9. 8  In 1960 France and Portugal agreed that the external limits of the maritimeborders which shallbe defined by a straight line orientated at 240° straight line orientated at 240° from the point of intersection of the land border extention and the low-watermark,represented for this purpose by the Cape Roxo beacon. from the point of intersection of the land border extention and the low-watermark,represented for this purpose by the Cape Roxo beacon.

10. 9 I/- HISTORIC ( continuation )  Sénégal obtained independence in 1960 and Guinee Bissau became a sovereign state in 1973.  Guinee -Bissau requested Senegal in 1977 to open negotiations on their maritime border, because it (Guinee Bissau) was not aware of the existence of the 1960 Franco-Portuguese Agreement, which it immediately considered as not binding.

11. 10 II/-AGC ( continuation )  2-1/ ESTABLISHMEN OF AGC  On 14 october 1993,the Governments of Senegal and Guinee-Bissau signed in Dakar an Agreement defining the scope of the management of the maritime area in conflict and the cooperation between the two countries.

12. 11 II/-AGC ( continuation )  2-1 ESTABLISHMEN OF AGC  This Agreement créates an International Organisation for the joint exploitation of the Common Zone.  This Organisation was named « AGENCE DE GESTION ET DE COOPERATION ENTRE LE SENEGAL ET LA GUINEE BISSAU (AGC) »

13. 12 II/- AGC ( continuation )  2-2 THE COMMON AREA  The two countries decide to share all the resources of the Common Exploitation Zone located between the Azimuths 268° and 220° traced starting from the Cape Roxo, point of intersection between the land border between Senegal and the Guinee-Bissau and the coast.

14. 13 II/- L’AGENCE DE GESTION ET DE COOPERATION ENTRE LE SENEGAL ET GUINEE BISSAU -AGC  After long negotiations marked by differences about the existence of this France-Portuguese Agreement, the Governments of Guinea-Bissau and Senegal finally agreed to set up a joint commission for the administration and the management of the maritime area in conflict dénominated « Common Exploitation Zone »

15. 14 II/-AGC ( continuation )  2-3 RESSOURCES OF THE COMMON AREA  HYDROCARBONS;  OTHERS MINERAL RESSOURCES;  LIVING RESSOURCES (FISHERIES);  ANY OTHER RESSOURCES

16. 15 II/-AGC ( continuation )  2.4 SHARING OF RESOURCES  FISHERIES - 50% : GUINEE – BISSAU - 50 % : SENEGAL  RESSOURCES OF THE CONTINENTAL SHELF( HYDROCARBON AND MINING) - 80% : SENEGAL - 20% : GUINEE BISSAU IN CASE OF NEW DISCOVERIES THIS ALLOCATION COULD BE REVISED ACCORDING TO THE IMPORTANCE OF THE DISCOVERY AND THE RESSOURCES

17. 16 II/- AGC ( continuation ) II/- AGC ( continuation )  2- 5/ Organisation of AGC On June 12, 1995, an Agreement Protocole concerning to the organisation and the operation of the Agency, is concluded between the Governments of Senegal and Guinee-Bissau. Il sets up the organes governing the agency and their different missions

18. 17 ORGANES  The High Authority made up of the Heads of the States or the Heads of the Governments or the people delegated by them ;  The General Secretariat ensured by a General Secretary (from Guinee-Bissau) assisted by deputy General Secretary (from Senegal) ;  The Entreprise SA, organ by which the Agency must exert the missions which are reserved for him in the Common Zone. 2- 5/ ORGANISATION OF THE AGC ( continuation )

19. 18 2- 5/ ORGANISATION OF THE AGC ( continuation ) MISSIONS In the Common Exploitation Zone, the AGC has full autonomy and management authority which primarily comprised petroleum resources, other no living resources and living resources.

20. 19 2- 5/ ORGANISATION OF THE AGC ( continuation ) MISSIONS  In the mining and oil field :  To promote the activities of research and exploitation of the mining and oil resources ;  To undertake or make undertake all research and exploitation activities of the mining or oil resources of the Common Zone ;  To ensure the marketing of whole or part of its mining or oil production ;

21. 20 2- 5/ ORGANISATIONS OF THA AGC ( continuation ) MISSIONS  In the maritime fishing field :  To promote the research and the exploitation of the living resources of the Zone ;  To ensure by itself or in cooperation with other states or other organisations the evaluation and management and follow-up of the marine ecosystem;

22. 21 2- 5/ ORGANISATIONS OF THA AGC ( continuation ) MISSIONS  In the maritime fishing field  To exert or authorize the execution of the fishing rights ;  To the access and exploitation conditions of the fisheries resources of the Zone;  To ensure the marketing of whole or part of its production biodiversity resources

23. 22 2-6/ SUCCESSION AND DURATION  The AGC is the successor of the Republic of Senegal and the Republic of Guinee bissau in terms of rights and obligations for the exploration and the exploitation of the ressources of the Common Zone.  The Agreement is signed for a period of 20 years with possibility to be renew.

24. 23 III/-PETROLEUM SECTOR  The petroleum ressources constitute the first wealf of the Common Exploitation Zone.  In this Zone the petroleum activities are governed by the 1998 Petroleum Legislation of the Republic of Senegal

25. 24 III/-PETROLEUM SECTOR BLOCKS OF AGC AREA  The AGC-Zone is presently divided into two blocks for hydrocarbon exploration ( DOME FLORE and AGC PROFOND  All blocks are now full licensed

26. 25 III/- PETROLEUM SECTOR ( continuation )  3-1 DOME FLORE BLOCK  The main structural features in this block are constituted by the Flore and Gea salt domes;  This sector is characterised by the only significant oil accumulation discovered in the senegalese Guinee Bissau basin to date;  The oil is heavy (10 - 12° API).

27. 26 III/- PETROLEUM SECTOR ( continuation )  3-1 DOME FLORE BLOCK ( suite)  Estimed oil in place 1 billion barrels  Several wells drilled in the flanks of the Flore and Gea salt domes encountered lighter oil ( 33.6° API )  Présently Markmore Energy ( Malaysian) is opérqting in this block since  January 2008 will be the last year of the first exploration renewal.

28. 27 III/- PETROLEUM SECTOR ( continuation )  AGC DEEP OFFSHORE BLOCK AGC granted an exploration concession from 2000 to 2005 to AGIP(ENI) company and FUSION OIL AND GAS NL. The geophysical data acquired by these two companies show deepwater turbidite sandstone reservoirs and a complex structural history with dynamic salt. Ophir Energy (Australian) is operating in this block since september 2006.

29. 28 IV/- FISHERY SECTOR  Fisheries ressources constitute the second wealth of the Common Exploitation Zone  In 1997 AGC signed an agreement with the two Ministeries in charge of fischiries of Senegal and Guinea Bissau:  The Agreement gives full power the two states to explore the living resources in the Common Area, under AGC Supervision

30. 29 IV/- FISHERY SECTOR ( continuation ) Currently AGC is holding Agreement with several world Organisations dealing in framework of Environment and Biodiversity to protect the living resources in the area ( WWF, ECOWAS, FAO) All Fisheries activities are governed by the Guinea Bissau legislation:

31. 30 CONCLUSION The 1993 Agreement signed by Senegal and Guinee- Bissau for the management of the resources of the Maritime Zone in conflict, is a dynamic example of economic cooperation at the service of development THIS MODEL OF MANAGEMENT OF THE COOPERATION BETWEEN THESE TWO COUNTRIES MADE SCHOOL IN AFRICA.

32. 31 THANK YOU VERY MUCH FOR YOUR KIND ATTENTION