British energy company Sound Energy has completed its exit from the gas business in Morocco after selling its local subsidiary, Sound Energy Morocco East Limited, to Moroccan mining group Managem. The deal gives Managem a 75% operating stake in the Tendrara gas concession. The National Office of Hydrocarbons and Mines (ONHYM) keeps the remaining 25%.
Sound Energy agreed to sell its remaining 20% stake in the Tendrara concession in May 2026 in a deal worth about $57m. It also gave up its 27.5% stake in the Anoual exploration permit and all its rights in the Greater Tendrara exploration permit, bringing its gas operations in the country to an end.
The company said the sale is part of its plan to focus on renewable energy and energy transition projects.
After paying off its financial obligations, Sound Energy expects to have about $11m in cash. The company said the money will help fund future investments and acquisitions in clean energy.
Sound Energy will continue working in Morocco through its Tayra solar power platform and the HyMaroc project, which focuses on green hydrogen and helium exploration.
Chief Executive Graham Lyon, referring to comments by CEO Majid Shafiq in the company’s announcement, said: “The completion of this transaction represents the successful execution of the plan announced last May. It positions the company to transition into a new phase of growth. We have the capital and the strategy needed to build a more diversified and profitable portfolio while maintaining our commitment to our ongoing projects in Morocco.”
Sound Energy first started reducing its gas business in 2024 when it agreed to sell most of its gas assets to Managem. The latest deal completes that process.
The Tendrara project will be developed in two stages. The first includes a micro-liquefied natural gas (mLNG) plant with a capacity of 54 billion cubic feet. The second includes a 120km pipeline linking the field to the Maghreb-Europe Gas Pipeline, with plans to produce another 128 billion cubic feet of gas.
Production was first expected to begin in October 2025, but the schedule has been pushed back to the third quarter of 2026.
