Angola national flag
Photo by: Bloomberg
During a recent official visit to France by Angola President João Lourenço and a delegation of Angolan businesspersons, petrochemicals giant Total chairperson and CEO Patrick Pouyanné and Angolan petroleum parastatal Sonangol chairperson Carlos Saturnino signed several agreements to cover the companies’ upstream and downstream activities in Angola.
These agreements include a risk service agreement for the deepwater Block 48 exploration licence, which Total will operate. Total and Sonangol are 50:50 partners in exploring Block 48 in Angola’s ultra-deep offshore. The first two-year phase of the programme includes drilling a well.
Secondly, a framework agreement was signed for the future joint venture between Total and Sonangol to develop a network of service stations in Angola, including petroleum product logistics and supply.
The parties also signed a memorandum of understanding to fund 50 new scholarships for young Angolans to study at French universities by the end of 2019.
“As today’s agreements demonstrate, Total, as Angola’s main oil and gas producer, continues to help develop the country’s oil and gas resources.
“The company appreciates the joint efforts of the Angolan authorities, Sonangol and the industry to enhance taxation frameworks and regulations,” commented Pouyanné.
He added that these changes are vital to reviving investment in this key sector of the Angolan economy and developing new projects, including those planned in Block 17.
Present in Angola since 1953, Total is the country's biggest oil operator. Production averaged 229 000 bbl/d of oil equivalent in 2017.
Total operates Block 17 with a 40% interest, alongside subsidiaries of Equinor (23.33%), ExxonMobil (20%) and BP (16.67%). Sonangol is the concessionaire of the licence.
Block 17 is home to four floating production storage and offloading (FPSO) units – Girassol, Dalia, Pazflor and CLOV.
Production from the block averaged 600 000 bbl/d of oil equivalent
in 2017.
Total also operates the deep offshore Kaombo development, located in Block 32, with an interest of 30%. The final investment decision was made in April 2014 to develop Kaombo’s estimated reserves of 650-million barrels through two converted FPSOs with a total production capacity of 230 000 bbl/d.
The first, Kaombo Norte, is scheduled to come on stream in summer 2018.
Total is also a partner in blocks 14 (20%), 14K (36.75%) and 0 (10%) and in Angola liquefied natural gas (13.6%).