Unite Oil & Gas and Aries Energies to sign a Memorandum of Understanding to expand cooperation within the Republic of Congo’s energy sector at AEW: Invest in African Energies

CAPE TOWN, South Africa, November 5, 2024/APO Group/ — 

Global integrated energy firm Unite Oil & Gas unveiled its growth strategy in Africa, with a specific focus on expanding its footprint in the Republic of Congo (RoC), in Cape Town on Monday.

During a Pre-Event Technical Workshop at African Energy Week (AEW): Invest in African Energies Yatche Luchin, CEO and President of Unite Oil & Gas said the firm is signing a Memorandum of Understanding (MoU) to establish a joint venture with RoC energy firm Aries Energies. 

The MoU will be signed this week at AEW: Invest in African Energies.

“The goal is to optimize the development of assets in the RoC. Nothing happens without cash hence we are working with the [RoC National Oil Company] SNPC and Aries Energies to unlock new financial strategies.”

The partnership will focus on acquiring stakes in existing permits

Loic Mackosso, General Manager of Aries Energies, added “The partnership will focus on acquiring stakes in existing permits. The government in the RoC encourages local firms to acquire stakes in assets in partnership with international firms.”

He said the aim is to leverage the financial strength and technical expertise of international companies to expand the growth of the RoC’s oil and gas industry.

The MoU will move Unite Oil & Gas closer to its goal of producing 25,000 barrels of oil equivalent per day by end of 2026 across West Africa, according to Luchin.

The company is working with SNPC on a series of drilling and investment campaigns as part of an energy services contract signed in April 2024.

“We helped SNPC drill two wells with one project already producing energy above expectations,” reiterated Luchin.

AEW: Invest in African Energies will host a press briefing organized by the RoC’s Ministry of Hydrocarbons and Energy Capital & Power for the launch of the inaugural Congo Energy & Investment Forum (CEIF). 

Distributed by APO Group on behalf of African Energy Chamber.

Brazil’s Petrobras provided an update on its acquisition offer for a stake in Galp’s Mopane Block in Namibia, along with potential opportunities in South Africa and Angola, during a pre-event workshop at African Energy Week 2024: Invest in African Energies

CAPE TOWN, South Africa, November 5, 2024/APO Group/ — 

Brazil’s national oil company (NOC), Petrobras, has confirmed it is actively exploring opportunities in South Africa, Namibia and Angola, and it is currently awaiting Galp’s decision on its offer to acquire a significant stake in the Mopane block offshore Namibia.

The announcement was made during a pre-conference workshop sponsored by Namibia Energy Corporation (NEC), leading up to the African Energy Week (AEW) 2024: Investing in African Energies conference. Petrobras is widely recognized for its success in the exploration and production of pre-salt oil reserves in the deep waters off the coast of Brazil, which hold close geological similarities to pre-salt areas in southern Africa. 

“As we increase production, we increase the need for reserves. Brazil has a strong correlation with Africa. We feel very comfortable to come back to Africa, and are looking at opportunities in South Africa, Namibia and Angola,” said Sylvia Maria Couto dos Anjos, Executive Officer for Exploration and Production at Petrobras.

The company’s technical expertise in pre-salt geology – particularly its ability to extract hydrocarbons from ultra-deep reservoirs beneath thick layers of salt – positions it as a strong contender to unlock frontier acreage in southern Africa. Geological similarities with Angola were highlighted during the workshop, as most of its hydrocarbon discoveries are offshore, with the majority of oil and gas resources located in deepwater reservoirs.

We feel very comfortable to come back to Africa, and are looking at opportunities in South Africa, Namibia and Angola

“Both Angola and Brazil have experience in developing deepwater reservoirs,” said Ricardo Van-Deste, CEO – Exploration and Production, Sonangol. “It is very important for us to bring Petrobras back to Angola. They left, but the door is still open.”

Petrobras’ deepwater technology, developed over years of working in the Campos and Santos Basins off the shores of Brazil, could also be a game-changer in unlocking South Africa’s offshore potential. These include TotalEnergies’ Luiperd and Brulpadda discoveries. Earlier this month, the Brazilian NOC announced it had secured approval to acquire a 10% stake in the Deep Water Orange Basin located off the west coast of South Africa.

“Those are challenging operations. With Petrobras’ experience and the technologies we have developed over time, this presents a valuable opportunity for us,” said Godfrey Moagi, CEO of the South African National Petroleum Company (SANPC).

In Namibia, Petrobras is currently evaluating entry opportunities as the country has produced a series of world-class discoveries. It is estimated to hold 100 billion barrels of oil equivalent in unrisked resources, with the Deep Water Orange Basin alone accounting for 30 billion barrels of oil equivalent.

“The potential of Namibia is incredible. We have a commitment to fulfill – I guarantee deals will come through,” said Dr. Marcio Rocha Mello, Founder & CEO of Namibia Energy Corporation.

Another key area for potential cooperation is the establishment of a Namibian center of excellence, aimed at enhancing technical capabilities and data analysis to deepen understanding of Namibia’s petroleum basins and de-risk prospects for future exploration.

“A center like that in Namibia would enable us to replicate the success of the Orange Basin in the Walvis and Lüderitz basins,” said Maggy Shino, Petroleum Commissioner of Namibia’s Ministry of Mines and Energy. “We have blocks that are bigger than some African countries. With such a large volume of available opportunities, we need a diversity of players to fully harness that potential.”

Distributed by APO Group on behalf of African Energy Chamber.

The Sanha Lean Gas Connection project will deliver gas to the Angolan LNG facility

CAPE TOWN, South Africa, November 5, 2024/APO Group/ — 

The Sanha Lean Gas Connection Project in Angola will start production in December 2024, according to Chevron. Speaking during an Invest in Angola Energies roundtable – sponsored by the ANPG, Sonangol, Azule Energy and ACREP – at African Energy Week (AEW): Invest in African Energies 2024 on Monday, Toni Henning, Commercial General Manager at Chevron’s Southern Africa Strategic Business Unit, said that the project will deliver gas to the Angola LNG facility.  

The $300 million project comprises the development of a platform that ties into the existing Sanha Condensate complex. Developed by Chevron, the project serves as part of a series of gas-focused investments the company is undertaking in Angola alongside various partners.  

“We have been in Angola for 70 years and it has only been possible because of our strong partners. We lead in gas and have a couple of projects underway. Sanha Lean Gas has always been part of our gas profile in Angola. We had it fabricated in Lobito, with 1,000 direct jobs and 3,000 indirect jobs created,” Henning said.  

In addition to the Sanha project, Angola’s New Gas Consortium (NGC) expects production to start at the Quiluma and Maboqueiro fields in late-2025 or early-2026, according to Adriano Mongini, CEO of NGC operator Azule Energy.  

“The project is progressing well and we are planning start-up for late-2025. This is the first non-associated gas project in Angola, and hopefully, the first of many,” he said.  

Beyond gas, Angola – sub-Saharan Africa’s second largest oil producer – aims to maintain production above one million barrels per day beyond 2027. To achieve this, the government is incentivizing investment in exploration, with the National Oil, Gas & Biofuels Agency (ANPG) preparing to launch its 2025 Bid Round in Q1 of next year. The round features part of a series of reforms aimed at driving exploration and production.  

“We wanted to make the business environment more transparent and more competitive. We have marginal field opportunities and new legislation for gas, making it possible for investors to have gas rights,” said Alcides Andrades, Executive Board Member, ANPG.  

We have marginal field opportunities and new legislation for gas, making it possible for investors to have gas rights

Through its multi-faceted investment approach, Angola is consolidating its position as an oil and gas heavyweight, and recent developments point to that. TotalEnergies and project partners on the Kaminho Development in Block 20/11 made $6 billion FID in 2024, for example.  

According to Rui Rodrigues, Director, TotalEnergies EP Angola, “the significance of the Kaminho project is that we are opening a new province in Angola. The majority of Angola’s production is derived from the north, but with Kaminho, we are diversifying supply.” He added that TotalEnergies is “on track to deliver the project by 2028.”  

TotalEnergies also anticipates the Begonia field development to start production in the coming months. McDermott International is leading the EPC support for the project. Mahesh Swaminathan, Senior Vice President: Global Business Vertical Head at McDermott International explained that “from an engineering perspective, we are nearly done. The vessel will enter any time soon. We are nearly completed and it’s an exciting development.”  

In addition to Begonia, McDermott International is focusing on capacity building in Angola. Swaminathan said that “We are setting up an engineering office in Angola, where we will train engineers from across the world.”  

Beyond Kaminho, Angola has an exciting pipeline of projects underway. Katrina Fisher, Lead Country Manager and General Manager at ExxonMobil, shared insight into Block 15 – one of Angola’s longest-producing assets.  

“We celebrated our 30th anniversary of Block 15 in August 2024 and we also recently made a discovery – Likember-01 – at the block, representing our 19th discovery at Block 15. With this, we have increased our production by 30% and offset decline.”  

Angola’s NOC Sonangol – in addition to driving upstream projects – is committed to boosting refining capacity in Angola. Sonangol’s Board Director Kátia Epalanga said that “We are seeking more than 400,000 bpd in refining capacity by 2027. The three new refineries underway will help us reach this capacity.”  

For international service companies such as SLB, Angola is ripe with opportunity. According to SLB’s Managing Director – Central, East and Southern Africa, Miguel Baptista, “In 2024, we celebrated 55 years of operations in Angola. We continue to see a lot of activity happening across the life of the oilfield. With this, there is good opportunity for the industry to push the boundaries of technology.”  

Angola also represents an exciting market for independents. Afentra, for example, which entered the market three years ago, is “focusing on growth in Angola: growth on the Kwanza Basin, growth on Block 3/05 and growth with regards to new deals,” according to the company’s COO Ian Cloke. Cloke considers Angola to be “a fantastic market to be in.”  

The same can be said for AA&R Investment, which has not yet entered the Angolan market. Abdullahi Bashir, Haske Group, the company’s Managing Director, explained that “Angola is the right place to be and we are looking for opportunity there. We are looking at onshore and offshore blocks and we are looking at participating in the bid round.”  

Distributed by APO Group on behalf of African Energy Chamber.