In the presentation of the document, the Secretary of State for Oil and Gas said that the intended change aims to detach the Negaje and Menongue development areas from Block 14 for their integration into the Block 14/23 concession.
José Barroso said that the de-annexation will allow the redefinition of the geographic limits of Blocks 14 and 14/23; the increase in geological knowledge; the mitigation of the decline in production; replenishment of reserves with resources estimated at 298 million barrels of oil; the 15 million dollars signing bonus; the fixed production bonus of 500 thousand dollars per year, for a period of 15 years, counting from the beginning of the production year, and the collection of revenues in the order of 5.7 billion dollars via taxes and receipts from the national concessionaire.
The governor highlighted that the national concessionaire signed a production sharing contract with the contractor group of Block 14, currently comprised of the companies Chevron, as operator, Azule Energy, Sonangol Pesquisa & Produção, Angola Bloco 14BV and Galp.
The Secretary of State for Oil and Gas stressed that, in the concession area of Block 14, located in the Lower Congo Basin, with a water depth of 600 to 1000 meters, the Negaje and Menongue development areas are included, which are extend beyond the geographical limits of Angolan territory, integrating the maritime zone of common interest between Angola and the DR Congo.
In response to concerns raised by deputies, José Barroso said that Block 14/23 will be operated by the same contractor group and the development of that area will be done in accordance with Angolan law.
"The Congolese side, taking into account our knowledge and capacity, decided to accept that we develop this common area based on our law. It will be our national concessionaire, with the integration of some staff from the Congolese concessionaire, which will oversee all the activity," he added.
According to the governor, this sharing of production also aimed to avoid possible conflicts with the neighboring country.
"We have a positive example of exploration or development of oil fields" with the DR Congo and "it is based on this positive experience, in fact, that we are confident in this relationship", he added, admitting that, in the event of good results, move forward together towards the development of other areas of economic interest.
