Italian group ENI wants to increase oil production in Angola

8 November 2017

Italian group ENI intends to increase investments in Angola in order to produce an additional 50,000 barrels of oil in addition to the 150,000 its already produces at Block 15/06, said the group’s chief executive, Claudio Descalzi, after an audience granted by the Angolan President, João Lourenço.

Block 15/06 is operated by ENI Angola, which has a share of 36.84% in the contracting group, in which Sonangol (36.84%) is the concessionaire and which also has the participation of SSI Fifteen Limited (26.32%).

The Italian group has invested around US$4.5 billion in the block, which is its share of a total investment of US$11 billion.

Descalzi also told the new President that the group intends to invest in natural gas, and mentioned the Angola LNG project was operating at full capacity. ENI has a 13.6% stake in Angola LNG and its partners are Sonangol, with 22.8%, US group Chevron, with 36.4% and the BP group with 13.6%.

Angola LNG collects, processes and distributes approximately 5.2 million tons of natural gas per year (including supplies of natural gas to the domestic market) and liquid gas (propane, butane and condensate), from its factory in Soyo, and has a fleet of ships.

Angola is the second largest oil producer in Africa, with more than 1.7 million barrels of oil per day and has only one refinery in operation, in Luanda, built in 1955, with a capacity to deal with 65,000 barrels of oil per day, which operates at 70% of its capacity with production costs higher than those of imported fuels. (macauhub)

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