The signing of the agreement, the result of a memorandum of understanding signed by the two companies in May 2021, took place this Friday in Luanda, with Azule Energy being 50 percent owned by each of the companies.
According to a joint statement, Azule Energy, with more than 200,000 boe [barrels of oil equivalent]/day and net oil and gas production and with net resources valued at around two billion barrels of oil, is expected to equivalent, is the largest producer in Angola, with stakes in 16 concessions and in Angola LNG.
The note adds that Azule Energy is also committed to adding to its business portfolio Eni's interests in Solenova, a solar energy company jointly owned with Sonangol, a state oil company.
The new company expects to start a strong range of new projects in the coming years, which include the new oil production projects Agogo and PAJ, in oil blocks 15/06 and 31, respectively.
The business portfolio also includes the development of the New Gas Consortium (NGC), the first non-associated gas project in the country, "which will contribute to meeting Angola's economic needs, towards its decarbonization path and will strengthen its position as a global player in the LNG [Liquefied Natural Gas] field".
"BP and Eni believe that the combination of their efforts, in a long-term perspective, will create more efficient operations and offer potential for investment, job creation and growth in Angola", says the note.
Azule Energy, continues the note, will continue to develop the maximum potential of the 'upstream' sector in the country, positioning itself simultaneously in the search for gas and renewable energies in its portfolio.
"Since the announcement of the intention to create the joint venture in May 2021, BP and Eni have worked together with the Government of Angola and the creation of Azule Energy will be subject to all government and other relevant approvals, with the objective of finalizing the transaction by mid-2022", the document stresses.
Azule Energy will be accounted for on BP's and Eni's balance sheets and hydrocarbon production and "GHG emission" will continue to be reported equitably.
Speaking to the press, the Minister of Mineral Resources, Oil and Gas, Diamantino Azevedo, said he hoped that this combination of synergies would be beneficial for the country, "in the sense that it will count on the experience, capacity and innovative spirit of the two entities". .
According to Diamantino Azevedo, the new company will provide more activity both in terms of research and development of oil and gas production, as well as giving emphasis to the development of renewable energies and biofuels.
"We believe that it will be a breath of fresh air in our sector at this time and also a reflection on the activity of hydrocarbons in the world", he said.
Diamantino de Azevedo stressed that the agglutination of assets of the two companies in Angola should bring more speed, more development, including the various projects that exist and also new assets that the company will add to the existing portfolio in the country.
In turn, a director of Eni, Guido Brusco, said that the partnership between the two companies has joint control, with the investment having exceeded US$10 billion.
Guido Brusco stressed that a company of this size is unique in Africa, stressing that the benefits of oil and gas production in Angola will be a reality in the next decade.
Currently, Eni is the operator of blocks 15/06, Cabinda Norte, Cabinda Centro, 1/14, 28 and, soon, of the NCG, and also has stakes in blocks 0 (Cabinda), 3/05, 3/05th, 14 K/ A-IMI, 15 and Angola LNG.
BP is the operator of blocks 18 and 31 and has stakes in blocks 15, 17, 20 and 29, in addition to holding stakes in NCG and Angola LNG.