Angola: Over 60 proposals for construction of refineries

Created by the President of the Republic, the Commission met Wednesday  with representatives from national and foreign companies interested in investing in the country’s refining sector.

The meeting served to set guidelines and present a set of procedures to be observed by entities.

The head of State has directed the launch of a tender for the construction of refineries in northern Cabinda province and Lobito (Benguela).

The objective is to offset the current refinery production in Luanda Refinery, which stands only at 20% of the market needs.

Another factor has to do with the high costs in the import of the aforementioned products, standing at 80%.

The existence of initiatives, in phase of their implementation, as well as the construction of a refinery in Lobito by Sonangol is another factor.

With its completion, going until 2022, the Lobito-based project will process up to 200,000 barrels of oil/day.

In Cabinda the infrastructure is still to be defined, according to a note from Sonangol delivered to Angop.

On the other hand, Sonangol has already signed an agreement with the Italian oil company ENI aimed at improving the Luanda refinery in 24 month time frame.

The initiative will enable the infrastructure to increase the current nominal capacity of 65,000 barrels/day.

The interested companies are required to present the improvements to their proposals until next February 10.

The interested firms should, among other aspects, demonstrate proven technical-operational ability and experience in refining sector.

The meeting was attended by State Secretary for Oil Paulino Jerónimo.

CEO of Sonangol Carlos Saturnino and Nacional Director of Oil Amadeu Azevedo and Executive and non-executive members of the board of directors also attended the meeting.

In December 2017, the President João Lourenço set up a working team made of members of the Ministry of Mineral Resources and Petroleum and Sonangol with a view to analysing and handle the proposals for construction of refineries in Angola. “

Angola is second largest oil producer in Africa, behind Nigeria.

The country ensures more than 1.6 million barrels of crude oil per day.

Source: Africa Business News