Angola has a long history in the petroleum business, and it has risen to become one of Africa’s largest crude oil producers.
However, the country’s oil sector faces significant challenges due to a decline in output resulting from various factors, such as the maturation of offshore oil fields and inadequate investment in upstream capacity.
Despite these challenges, Angola is taking steps to raise production levels and stabilize them. Minister of Mineral Resources, Oil and Gas, Diamantino Pedro Azevedo, has been working with ANPG and Sonangol leadership to leverage both government and business community power to drive positive changes. Collaboration with international oil companies (IOCs), such as Azule Energy (a joint venture between BP and Eni) and TotalEnergies, has been instrumental in this endeavor.
Azule Energy has employed a fast-track approach known as Infrastructure-Led Exploration (ILX), utilizing existing infrastructure to connect new reserves quickly to production facilities.
This approach has yielded successful results, allowing for rapid production ramp-up and increased reserve estimates. TotalEnergies, on the other hand, has emphasized short-cycle development projects using standardized equipment and subsea tie-backs to link new fields to existing floating production facilities.
These efforts are not solely aimed at increasing crude production, but also at laying the foundation for Angola’s transition to renewable energy. The country seeks to generate substantial revenue from offshore oil reserves to support its economy and invest in renewable energy initiatives. Furthermore, Angola aims to enhance local capacity by sharing knowledge and technology with IOCs and reduce energy poverty through the construction of new refineries to improve access to high-quality fuels.
The African Energy Chamber (AEC) commends Angola for its commitment to these efforts and looks forward to witnessing more successes in the future, including achieving a just and sustainable energy transition with abundant and accessible renewable and low-carbon energy sources.
