In 2023, Angola, alongside Nigeria, solidified its position as the largest hydrocarbon drilling market in sub-Saharan Africa. The drilling campaigns, extending into the second half of 2024, may propel Angola ahead of Nigeria in the coming year, aligning with the government’s goal to boost oil output to 1.3 million barrels per day. These initiatives position Angola to potentially become the leading crude oil producer in sub-Saharan Africa within the next five years. The upcoming Angola Oil & Gas (AOG) 2024 Conference & Exhibition, scheduled for its fifth edition in Luanda next October, will provide insights into the latest and ongoing drilling activities, featuring the key operators and drilling contractors involved.
ExxonMobil
International energy giant ExxonMobil is dedicating a $200 million investment to drill an offshore frontier exploration well in the Namibe Basin by the end of 2024. Collaborating with national oil company Sonangol, this campaign aims to uncover untapped oil and gas reserves in Angola’s underexplored areas. A successful outcome could lead to a $15 billion investment for evaluating and developing a significant discovery, with production potentially commencing in 2030. The drilling project has generated interest in Namibia’s share of the basin, opening up additional exploration opportunities in the broader region.
Chevron
Offshore drilling contractor Shelf Drilling has secured a one-year contract extension for its Shelf Drilling Tenacious jack-up rig, operating offshore Angola. The extension, effective until November 2024, continues the rig’s contract with Chevron’s Angola subsidiary, Cabinda Gulf Oil Company. While financial details remain undisclosed, Shelf Drilling reported a contracted backlog of $2.8 billion in Q1 2023, with a fleet utilization rate of 94%. The Shelf Drilling Tenacious, a 2007-built Baker Marine Pacific 375 rig, boasts a maximum drilling depth of around 30,000 feet.
KCA Deutag
In September of the previous year, international oil and gas services company KCA Deutag secured a $60 million, one-year contract extension for drilling operations and maintenance services on two offshore platforms in Angola. The undisclosed client will benefit from KCA Deutag’s comprehensive drilling operations, including maintenance, crane operations, materials management, and equipment rental services. The extension reflects the company’s successful track record in Angola, including activities on ExxonMobil’s Kizomba TLP-A platform, operational since April 2022.
Sonangol
With ambitions to become a leading operator in Angola, Sonangol announced the launch of drilling and appraisal preparations on Block KON11 in the onshore Kwanza Basin in September. The block houses the historic Tobias field, a brownfield development. Sonangol anticipates early oil production upon drilling success and is implementing a strategy involving modern drilling technologies, possibly including horizontal drilling, to maximize the original oil in place in the dormant field.
Azule Energy
Azule Energy, a joint venture between bp and Eni, alongside Norwegian energy company Equinor, secured a Production Sharing Agreement for Angola’s offshore Block 31/21. Covering a 4,500-square-kilometer deepwater area in the Lower Congo Basin, Azule Energy plans to commence the campaign in 2024, with the goal of drilling one well within the initial five-year exploration period outlined in the agreement.
