Vaalco Gabon Output Rises 34.5% on New Wells
Vaalco's Gabon production climbed in the third quarter of 2026 after a drilling campaign at the Etame field.
Updated on Nov. 6, 2026 in Oil and Gas
Vaalco reported that Gabon oil output reached 9,577 barrels of oil equivalent a day from July to September 2026, up 34.5% from 7,118 a year earlier. The gain followed a campaign that brought five new wells online at the Etame field.
Why it matters
The increase shows how targeted drilling at an existing offshore field can lift output quickly for an independent producer. Vaalco's results also reflect a sharp swing in profitability, with adjusted operating earnings rising while a non-cash derivatives charge produced a net loss.
Vaalco's Gabon share after royalties was 8,332 barrels a day, up from 6,192, while Gabon oil sales were US$77.7 million, down from US$103.3 million in the second quarter. The company produced 25,284 barrels a day across Gabon, Egypt and Côte d'Ivoire.
The players
Vaalco
Vaalco is a Houston-headquartered independent oil and gas producer with operations in Gabon, Egypt and Côte d'Ivoire.
The details
The campaign drilled and connected five wells at the Etame field, adding almost 2,500 barrels a day compared with last year. One well produces natural gas for the platform's own use, reducing reliance on diesel carried by boats. Vaalco released its drilling rig from the field in early October.
Timeline
- July to September 2026: Third-quarter Gabon output reached 9,577 barrels a day.
- Early October 2026: Vaalco released its drilling rig from the Etame field.
- 5 November 2026: Vaalco announced its third-quarter 2026 results.
- Q4 2026: Vaalco guides Gabon output to 9,800 to 10,900 barrels a day.
Season Trajectory
Over nine months, Gabon output averaged 8,823 barrels a day, compared with 8,062 a year earlier, showing the third-quarter gain builds on a broader upward run. The company's fourth-quarter guidance of 9,800 to 10,900 barrels a day suggests the Etame drilling gains are expected to hold.
For investors holding Vaalco, the quarter's adjusted operating earnings rise to US$71.1 million contrasts with a US$39.8 million net loss, so the reported bottom line depends on which measure is watched. The declared dividend of US$0.0625 per share is payable on 22 December 2026.
The takeaway
Targeted drilling at existing fields can lift output quickly, but adjusted earnings and net results can diverge sharply, so readers should check both before drawing conclusions about a producer's performance.
What happens next
Vaalco has guided fourth-quarter 2026 Gabon output to 9,800 to 10,900 barrels a day and will pay its US$0.0625 per share dividend on 22 December 2026.
Further reading
Explore more on Oil and Gas for context on upstream producers and output trends.
Source note: This article includes information reported by The Rio Times.
