Total awards more contracts for oil project in Angola

17 April 2014

Three European companies have obtained contracts for nearly half of the US$16 billion that France’s Total group aims to spend on development of the Kaombo oil project in Angola, indicate statements released on Wednesday.

Italy’s Saipem announced it had obtained a US$4 billion contract to convert two tanker ships into floating production, storage and offloading (FPSO) platforms.

A consortium comprising Technip, quoted on the Paris Exchange, and Heerema Marine Contractors, which specialises in lifting loads, announced the signing of a US$3.5 billion contract to supply underwater tubes and cables to anchor the two FPSO platforms to the seafloor at a depth of 2 km.

On Tuesday Norway’s Aker Solutions announced it had obtained a US$2.4 billion contract to supply France’s Total group with an underwater production system for the Kaombo project in Angola’s offshore bloc 32.

Kaombo, located 260 km from the Angolan coast, is one of the biggest underwater oil exploration projects worldwide.

It is situated in an area with estimated reserves of 650 million barrels. Daily production capacity of 230,000 barrels is forecasted, starting in 2017.

The Total group is the operator of Bloc 32, where it holds a 30 percent stake along with Sonangol Pesquisa & Produção, with an identical percentage, and Sonangol Sinopec Internacional (20 percent), ExxonMobil (15 percent) and Portugal’s Galp Energia (5 percent). (macauhub/AO)