Shell has returned to Angola after two decades, a move that signals the impact of recent reforms designed to revive the country’s oil sector.
Chevron, Shell, and Sonangol EP signed agreements with the National Agency of Petroleum, Gas, and Biofuels for Block 33 in the Congo Basin, according to ANPG board member Alcides Andrade.
By returning after two decades, Shell demonstrates how reforms since 2019, from simplified licensing and improved tax terms to policies welcoming international energy companies, are reshaping Angola’s oil landscape, Andrade noted on Wednesday.
Angola, Africa’s third-largest oil producer, continues to seek investment to slow a sharp production decline that threatens government revenue. In July, daily output dropped below one million barrels for the first time since the country left OPEC two years ago.
Sonangol, partnering with Acrep and Red Sky Energy, also secured agreements for Block 24 in the Kwanza Basin, Andrade added.
“We signed multiple deals today with investors committed to sustaining production and curbing the decline in output,” he stated.
At the same conference, Petroleum Minister Diamantino Azevedo announced that Angola will launch a bidding round for five oil blocks before the year ends.
He explained that these blocks form part of an initial 10-block package, with the remaining five already allocated through direct negotiations with undisclosed firms.
source:worldoil.com
African Energy Council