JOHANNESBURG, South Africa, May 22, 2024/ — A new milestone has been reached in Angola as energy major TotalEnergies and its partners on Block 20/11 announced a final investment decision (FID) for the Cameia and Golfinho fields. The announcement signals the start of development of the $6 billion Kaminho deepwater project – the first large-scale deepwater development in the Kwanza Basin. As the voice of the African energy sector, the African Energy Chamber (AEC) (www.EnergyChamber.org) commends the partners for the milestone achieved. The AEC believes this project will set a high standard for the development of deepwater projects – both in Angola and across the broader continent.
Block 20/11 is being developed by TotalEnergies as the operator with 40%, energy company Petronas with 40% and Angolan national oil company (NOC) Sonangol with 20%. Located approximately 100km off the coast of Angola in water depths of 1,700 meters, the project features a Floating Production, Storage and Offloading (FPSO) unit with a capacity of 70,000 barrels per day (bpd). The FPSO – the seventh developed by TotalEnergies in Angola – will be connected to a subsea production network, with over 10 million man-hours expected to be involved – primarily covering offshore operations. Now that FID has been reached, production is on track to start by 2028.
Angola has set a target of maintaining oil production at 1.1 million bpd by 2027 and thereafter increasing output to two million bpd. The Kaminho project will be instrumental in increasing production while creating jobs and bolstering economic growth. As the first development in the maritime zone of the Kwanza Basin, the Kaminho project represents a new oil frontier and forms part of a broader national strategy to consolidate the country’s footprint as one of the continent’s biggest oil and gas players.
For TotalEnergies, achieving FID underscores the energy major’s commitment to developing Angola’s offshore oil and gas reserves. Having been active in the country for over 70 years, the company has established a long-standing partnership with Angola. The Kaminho project further solidifies this partnership while demonstrating TotalEnergies’ expertise in developing low-cost, low-emission oil and gas in Africa.
Meanwhile, for Sonangol – Angola’s NOC-turned-operator – the project highlights the company’s emerging role as a major player in the Angolan oil and gas upstream market. Following a national privatization initiative, Sonangol has been transformed into a competitive operator, and its partnership with TotalEnergies on the Kaminho project demonstrates both its expertise and strategic contribution towards developing large-scale oil and gas projects.
“Angola – one of Africa’s largest oil and gas producers – is proving time and time again its commitment to increasing production and alleviating energy poverty through oil and gas monetization. The announcement by TotalEnergies and the ANPG is a critical step forward towards this goal and the AEC commends the efforts by the partners on Block 20/11 to driving this important project forward. The Cameia and Golfinho fields further cement Angola’s status as a major global producer,” states NJ Ayuk, Executive Chairman of the AEC.
In addition to the announcement of FID, TotalEnergies signed an MoU with Sonangol EP for the decarbonization of the oil and gas industry, laying the foundation for a new era of low-carbon oil and gas developments in Angola. The MoU will see the parties jointly pursue research and development initiatives, with a strong focus on reducing emissions and increasing renewable energy projects. The respective research and development teams of TotalEnergies and Sonangol EP have agreed to collaborate on the implementation and development of laboratories while supporting the development of skills in the fields of geology and electrification.
“The reforms implemented by the President João Lourenço and his oil minister Diamantino Azevedo are proving effective. They have addressed many of Angola’s above-ground risk issues, streamlined the permitting and approval processes, and made a compelling case for capital investment in the country. Achieving FID while partnering on decarbonization initiatives underscores TotalEnergies and Sonangol’s commitment to the development of low-carbon oil and gas in Angola. This is what Africa needs: to bring its oil and gas resources online while developing low-carbon technologies and skills to support a just energy transition,” adds Ayuk.
Distributed by APO Group on behalf of African Energy Chamber.
SOURCE
African Energy Chamber