The extractive industries in Gabon kicked off 2026 with a mixed performance, as the sector’s overall output contracted by 2.9%. This decline was primarily driven by a sharp drop in hydrocarbons, while the manganese sector continued its upward trend. These findings, drawn from the sectoral outlook report by the Directorate-General for Economy and Fiscal Policy, highlight Gabon’s persistent economic reliance on its oil sector.

Gabon’s extractive sector falters under oil production decline

The downturn in hydrocarbons has had a significant impact on the sector’s balance. In Libreville, crude production has been struggling for several quarters due to aging mature fields, prolonged maintenance of key infrastructure, and a sluggish upstream investment pace that fails to offset the natural depletion of reserves. The 2.9% contraction in the extractive sector for the first quarter of 2026 reflects this ongoing erosion, particularly as oil remains the country’s top export revenue source.

Gabonese authorities are closely monitoring this trend, especially as the national budget remains highly sensitive to fluctuations in production volumes and global crude prices. The hydrocarbon shortfall coincides with a regional shift, as major international players redirect capital toward basins deemed more profitable or less mature. Gabon’s sedimentary basin, a long-time economic cornerstone, now faces intensified competition for exploration and production investments.

Manganese emerges as a stabilizer amid economic transition

Amid the hydrocarbon downturn, the mining sector is serving as a buffer. Gabon, one of the world’s leading manganese producers, saw sustained growth in this area during the period under review. This momentum aligns with a decade-long upward trajectory for manganese, fueled by rising steel demand in Asia and growing requirements for new-generation battery cathodes.

The manganese sector’s increasing contribution to the extractive industry’s value-added reflects a gradual rebalancing of Gabon’s mineral portfolio. Authorities are leveraging this strategic mineral to diversify revenue streams and kickstart local transformation initiatives, including agglomeration projects and silicomanganese production. These efforts aim to capture greater value within the supply chain rather than exporting raw ore—a strategy now mirrored by several mining nations in Central and West Africa.

Diversification and production sovereignty take center stage

The snapshot provided by the Directorate-General for Economy and Fiscal Policy underscores a critical challenge for the transitioning government. Gabon’s dual dependence—on hydrocarbons for fiscal revenue and on external markets for mineral exports—demands a stronger resilience strategy. The growing role of the Société Équatoriale des Mines (SEM), involved in multiple projects, signals a push to enhance national control over key segments of the industry.

Meanwhile, reviving upstream oil activity remains a pressing question. Authorities are exploring measures such as offshore licensing rounds, modernizing contractual frameworks, and fiscal incentives for exploration to stem the decline. However, the typical five-year lag between discovery and production means policymakers must adopt a medium-term perspective.

In practical terms, Gabon faces a balancing act between three priorities: boosting hydrocarbons to safeguard immediate fiscal stability, consolidating the manganese sector to secure stable mining revenues, and preparing for a post-oil future through local processing and diversification. The first-quarter 2026 data serves as a reminder that this high-wire act leaves little room for missteps.