Angola calls for potential investors in the energy sector

 Angola calls for potential investors in the energy sector

Angola calls for potential investors in the energy sector.

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The desire for investors is fast growing in Angola as the country urges interested companies and individuals to take part in the investment of its Lobito refinery.

The public tendering process was launched by the country’s oil minister and the refinery in Benguela province is expected to process an estimation of up to 200,000 barrels per day when completed.

As stated in the proposed corporate governance structure, private investors will own 70% of the company and the remaining 30% stake will be controlled by Sonangol, which is a state owned oil firm.

The country is also refurbishing and expanding the capability of the already established Luanda refinery as well as building two more refineries namely Cabinda and Soyo. A target of processing 360,000 barrels of oil locally per day is expected.

According to the Minister of oil in Angola, Diamantino Azevedo, their perspective is to first have enough capacity to supply the internal market and also have additional capacity to export essentially to the counties in the region.

The minister also stated that there is an outflow of oil derivatives from Angola to the Democratic Republic of Congo therefore it being an interesting market.

 “We have been working with our counterparts in the DRC to make the relationship more fruitful for our countries. Already in relation to Zambia, there is a proposal by the Zambian government to study the feasibility of a pipeline from Lobito,” the minister said.

The DRC is not the only country Angola has an interest to work with as there is a proposal made by the Zambian government to scrutinise the possibility of a pipeline from Lobito.

A daily production of 1.2 million barrels of crude oil is currently being made in Angola, which is a volume that could expand in the near future as new fields emerge.

In 2019, Angola imported US$1.7 billion worth of fuel hence being the reason to why the country looks forward to limit or break its dependence on oil imports.

Angola’s economy seems to be heading in the right direction as the country has experienced great reforms in sectors such as mining and agriculture, now the country has embarked on a program to produce oil which will cut the dependence on oil exports and save up government revenue.

Chen Williams

A young Energetic communication expert with an unrivaled ability to understand how to pitch stories objectively for financial publications and the Arts. Passionate about business, the youth in agriculture, video editing, photography, and music production.

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