Total Group invests in Angola to increase oil production

17 December 2019

The Total oil group plans to invest US$2.5 billion in block 17 of the Angolan sea by 2023, which will allow the Angolan subsidiary to add more than 100,000 barrels of oil to its daily production, said on Wednesday in Luanda the French group’s chief executive.

Block 17, located 140 kilometres off the Angolan coast, in the Congo Basin, has current production of around 440,000 barrels per day, and in 2015 it recorded a peak production of 700,000 barrels of oil per day.

Patrick Pouyanné, speaking at the end of a hearing granted by President João Lourenço, said that the investment announced in the block aims to keep its level of production above 400,000 barrels per day, until 2023.

The CEO of the Total Group also mentioned a contract extension for oil exploitation in block 17 until 2045, which was signed on Monday in the Angolan capital, by the National Oil, Natural Gas and Biofuels Agency (ANPG) and Equinor, ExxonMobil, BP and Sonangol.

Block 17 is operated by Total (with a 40% stake), which has as partners Equinor (23.33%), Exxon Mobil (20%) and BP (16.67%), according to the Angop news agency. After the contract extension Sonangol takes on a stake of 5.0% in this oil exploration area and the same percentage in 2036.

Total Angola started operating between 1952 and 1953, when it was granted its first concession both onshore and offshore, Kwanza and Lower Congo Basins. (macauhub)