Azule Energy, a joint venture between international oil giants BP and Eni, has announced a significant natural gas discovery offshore Angola. The find, made at the Gajajeira-01 exploration well, marks the first dedicated gas-targeting effort in the oil-rich nation. Located in the Lower Congo Basin, this discovery could have far-reaching implications for Angola’s energy sector.
Initial estimates indicate that the gas reservoir could contain more than 1 trillion cubic feet of gas, along with up to 100 million barrels of associated condensate. Azule Energy stated that these results confirm the existence of a functioning hydrocarbon system in the area, which may pave the way for new exploration ventures. The company will continue to evaluate the full potential of this discovery in collaboration with its partners, including Equinor, Angola’s state oil company Sonangol, and Acrep SA.
The chairman of Angola’s National Agency of Petroleum, Gas and Biofuels, Paulino Jerónimo, emphasized the importance of these developments, stating, “These new discoveries are a motivating factor in our ongoing efforts to attract private investment in the sector for the development and monetisation of natural gas.” This sentiment reflects Angola’s broader strategy to revitalize its energy industry and attract foreign investment.
The CEO of Azule Energy, Adriano Mongini, described the Gajajeira-01 discovery as a landmark moment for gas exploration in Angola. He noted, “This is the country’s first dedicated gas exploration well, and its success reinforces our confidence in the potential of the Lower Congo Basin.” This discovery comes at a crucial time, as Angola has been focusing on recovering its declining oil production, which peaked at 2 million barrels per day (bpd) in 2008 but fell to approximately 1.1 million bpd in recent years.
Challenges in the sector, including high development costs and a lack of investment, have hindered Angola’s oil production capabilities, prompting many companies to reassess their engagement with the country as an investment destination. The government aims to increase oil output, particularly following recent disputes with OPEC and OPEC+ regarding production quotas.
The recent gas discovery could elevate Angola’s status in the global gas and liquefied natural gas (LNG) markets. Major energy companies, including BP and Eni, are already involved in various LNG projects along the coasts of West and East Africa, with significant initiatives underway in Senegal, Mauritania, and Mozambique.
As Angola positions itself for future growth in the energy sector, the implications of the Gajajeira-01 discovery are poised to resonate throughout the industry, potentially attracting new investments and enhancing the country’s role in the global energy landscape.
