Exploration

The acquisition was a direct result of the NOC's pre-emptive rights. (Image source: Adobe Stock)

The Gabon National Oil Company has acquired exploration and production company Assala Energy from Carlyle 

This was the direct result of the NOC's pre-emptive rights, which the company excercised in November last year to initiate a sale and purchase agreement with Carlyle in February. Previously, Maurel & Prom was running for the Assala acquisition. 

Strategic acquisition 

The NOC tied up with Switzerland-based global energy commodities trading company, Gunvor Group, which offered financial support for the acquisition. 

“Gunvor is proud to have been selected as Gabon’s partner for this strategic acquisition,” said Stephane Degenne, member of Gunvor Group’s executive committee. “As a leading global oil trading company, Gunvor brings its strengths – global market expertise and financing – to support GOC’s energy agenda.”

Assala's daily production count remains around 45,000 barrels. Marcellin Simba Ngabi, Gabon Oil Company’s CEO, considers this acquisition a means for reinforcing control and sovereignty over its oil and gas reserves to increase revenues. Gabon continues to experience rich discoveries, with BW Energy-operated Hibiscus field being one of the latest instances. The northern flank of the field received sustantial oil with good reservoir quality. 

Everything from camp to rig and equipment have been mobilised to the Naingopo exploration well site. (Image source: Adobe Stock)

Reconnaissance Energy Africa Ltd has reported a smooth running of operations from petroleum exploration licence 73 (PEL 73) onshore northeast Namibia 

Everything from camp to rig and equipment have been mobilised to the Naingopo exploration well site. 

All third party service contractor teams will be available on site before 7 July, on which spudding will supposedly commence. The exploration and appraisal drilling phase might also see several local employment as assured earlier by Brian Reinsborough, company president and CEO.

Well pad construction for Prospect P

Debushing and road access activities are currently being attended on Prospect P, before moving on to major civil works including well pad construction. 

"We have completed all the camp, rig and equipment moves and are in the process of rigging up in anticipation of a 7 July spud date for the high impact Naingopo exploration well. Operationally, things remain busy on site with well site construction and mobilisation activities being completed in line with our expected scheduling. Additionally, field operations teams are mobilising ahead of the start of well pad construction activities for Prospect P planned to begin in the next month. This prospect is expected to spud immediately after completion of the Naingopo exploration well," Reinsborough said. 

Last year, the Damara Fold Belt which houses PEL 73 has undergone extensive, multi-phased seismic studies, revealing not only good concentrations of hydrocarbon gas liquids, but also a natural gas seep on top of an elongated anticline.

The AEB is a joint project by APPO and Afreximbank. (Image source: APPO)

In the true spirit of self-sufficiency, the establishment agreement and charter of the Africa Energy Bank (AEB) was signed this month in Cairo by Benedict Okey Oramah, president of African Export-Import Bank (Afreximbank) and Omar Farouk Ibrahim, secretary general, African Petroleum Producers' Organisation (APPO) 

The founding documents now await ratification from the Member Countries of APPO. 

A selection committee will be appointed to choose the host country for AEB's headquarters. Countries in the running include Algeria, Benin, Côte d’Ivoire, Ghana, Nigeria and South Africa.

A joint project by the APPO Member Countries and Afreximbank, the initial resolution for the establishment of the AEB was passed in the APPO Ministerial Council in 2022 to build financial support for the continent's rich oil and gas industry.

The primary objective of this development bank would be to support the domestic market, while prioritising the states that have given ratification as benefitiaries. 

APPO has always been enthusiastic in promoting local content in the oil and gas industy, and its recent memorandum of understanding with African Energy Chamber endeavours to empower local companies to become world-class operators capable of delivering major projects. 

Supporting domestic market

National companies in the hydrocarbon and energy sectors, as well as any private or public entity, having an impact on the development of the industry in the Member Countries will also have access to AEB's services. 

During the OPEC-Africa Energy Dialogue 2024 held in Cairo, the Africa Refineries and Distributors' Association (ARDA) expressed interest on providing prospective downstream projects for the AEB initiative.

A working group was brought together to develop the essential technical aspects of AEB's establishment. 

The bank is counting on an initial capital of US$5bn, and anticipating robust growth due to huge sector demands. Nigeria, Angola and Ghana have begun contributing their shares of a minimum amount of US$83.33mn that is expected of each Member Country to advance the project's capitalisation. 

The partners will also initate key staff recruitment for the AEB’s development.

The RSCs lay the foundation for the development of Block 49 and Block 50. (Image source: African Energy Chamber)

A kick-off for the exploration phase, Chevron-subsidiary Cabinda Gulf Oil Company Limited has signed two risk service contracts (RSC) for Block 49 and Block 50 in the ultra-deep waters of Angola’s Lower Congo Basin

Initially awarded the concessions by way of Presidential Decree in January, the RSCs lay the foundation for the development of the blocks. 

Angola remains a coveted destination for oil majors with the latest instance being TotalEnergies' final investment decision (FID) on the Kaminho deepwater project.

While Chevron has been in Angola for 70 years, Block 49 and 50 represents the company’s first operated assets outside of the existing Cabinda concessions. 

Earlier this year, the company signed an agreement with Angola’s national concessionaire – the National Oil, Gas & Biofuels Agency – to conduct seismic surveys in Blocks 49 and 50. 

With interests in Block 0 and 14, which produce an average of 70,000 barrels of liquids per day and 259 million cubic feet of natural gas per day, Chevron enjoys a 26% market share in Angola. 

Block 0, whose concession has been extended to 2050, is comprised of 21 fields, while Block 14 contains nine fields.

By an agreement signed with the government in 2020, Chevron not only received the go-ahead to develop Block 14 with improved fiscal terms, but also a production sharing contract extension to 2028.

Multiple projects

Additionally, in 2023, Chevron signed a production sharing agreement to manage operations within the Block 14/23 concession area.

The concession is situated in the Zone of Common Interest shared by Angola and the Democratic Republic of the Congo, with the agreement seeing Chevron act as operator with a 31% stake in the block.

Chevron holds non-operating interests in the Angola LNG plant as well, which processes gas from offshore concessions, thus generating critical revenue for the country through LNG exports. 

Specifically, the Chevron-operated US$300mn Sanha Lean Gas Connection Project is a strategic initiative that aims to address a supply gap at Angola LNG. The project involves the development of a platform that ties into the existing Sanha Condensate complex and features pipelines connecting Block 0 and 14 to the Angola LNG facility.

During EGYPS 2022, Chevron was recognised for its achievements in equality, inclusion and diversity in the oil and gas industry.

Chevron has also introduced low-carbon solutions across Angola’s oil and gas industry.

The multinational signed an agreement with the government in October 2023 to utilise nature-based and technological carbon offsets and lower-carbon intensity fuels such as hydrogen for enhanced production.