The national concessionaire refers, in a statement sent to VerAngola, that the operation is part of the "growth strategy of the largest private oil company in Angola", which closed an agreement with TotalEnergies and INPEX to obtain 20 percent and 10 percent stakes in blocks 14 and 14K, respectively.
The ANPG, "as the national concessionaire, makes public Somoil's entry into blocks 14 and 14K. The operation is part of the growth strategy of the largest private oil company in Angola, which concluded an agreement with TotalEnergies and INPEX to acquire 20 percent stake in block 14 and 10 percent in block 14K", reads the document.
The chairman of the Board of Directors (PCA) of ANPG, Paulino Jerónimo, highlighted the importance of Somoil's commitment.
"It is a pleasure for us, the national concessionaire, to register the fruits of the work of attracting investment to our market. Therefore, it is encouraging to be a national company in the oil sector to enter such an important block and which will work with a long-standing international partner in our country," said Paulino Jerónimo, quoted in the statement.
In turn, Somoil CEO, Edson dos Santos, underlined the diversification of the portfolio.
"This acquisition represents a big step in our strategy of entering deepwater production assets, as well as a big step towards building an increasingly diversified portfolio", he said, quoted in the note.
Block 14 is located 100 kilometers off the coast of Cabinda and has a coverage of around 4094 square kilometers. This block started production in 1999, continuing to play an important role in the production of light medium crude oil.
This block, the note adds, is operated by Cabinda Gulf Oil Company Limited (CABGOC), a subsidiary of Chevron, which owns 31 percent of the participating interest, "the contractor group also includes Sonangol Pesquisa e Produção, S.A. (20 percent), Eni Angola Exploration, B.V. (20 percent) and Galp Energia Overseas Bloco 14 B.V. (9 percent) and, now, Somoil through its affiliate Somoil Block 14 B.V. (20 percent)".
Block 14K concerns a "cross-border prospect object of a Unitization agreement between the Republic of Angola and the Republic of Congo". This block "is operated by Chevron Congo, which holds 15.75 percent of the participating interest", with partners also being Total E&P Congo (26 percent), CABGOC (15.5 percent), ENI Angola Exploration B.V (10 percent percent), Sonangol Pesquisa e Produção (10 percent), SNPC (7.5 percent), Galp Petrolífera S.A (4.5 percent) and now Somoil via its affiliate Somoil Bloco 14 B.V (10 percent), says the statement.
It should be noted that, currently, Somoil operates Associação FS, FST and block CON-1 (all onshore), as well as block 2/05, offshore in the Lower Congo Basin. In addition, the company is also a partner in blocks 3/05, 3/05-A, 4/05, 17/06 and CON-6.