Luanda, Angola, 17 Feb – Angola may be able to compete with Nigeria in supplying the largest production capacity increase over the next ten years, the latest edition of African Business magazine reported.

According to the magazine Angola has already passed the 1 million barrels per day mark and is projected to hit 2 million by 2008 as the country follows Nigeria in deepwater oil exploration.

In a long article entitled, “Africa takes Centre Stage,” on oil and gas exploration the magazine reported that tens of billions of dollars are being invested by big companies in the sector on deepwater and ultra deepwater projects.

“Although Angola’s production has changed little over the last five years despite this financial injection, new wells will be coming into production in rapid succession over the next three years,” the report said.

BP Angola alone plans to produce 400,000 barrels per day in 2010 as a result of an US$8 billion investment.

The company already produces oil in blocs 15 and 17 and a production increase in these as well as the development of blocs 18 and 31 should allow the company to reach its 400,000 barrels per day target.

Bloc 17, which is operated by Total, is the location of the first deepwater development, which began producing oil at the end of 2001.

The Kizomba project run by ExxonMobil in bloc 15 potentially represents the biggest contribution to Angola’s oil production. It includes three stages, with all three reaching a peak of 250,000 barrels per day each.

The US company estimates that the bloc contains 4,500 barrels of recoverable oil.

Notwithstanding, Chevron (formerly ChevronTexaco) remains Angola’s main oil producer, through its subsidiary Cabinda Gulf Oil Company (CABGOC).

CABGOC operates in the Cabinda enclave, where it produces 550,000 barrels per day in bloc 0, which is located on land. The operating contract, which should have ended in 2010, has already been extended to 2030. (macauhub)