Ver Angola

Energy

Oil exports in August to rise 12 percent to 35.5 million barrels

The government of Angola plans to export 1.145 million barrels of crude oil per day in August, according to the preliminary loading schedule, which shows an increase from the 1.023 million daily recorded for July.

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According to the Bloomberg financial information agency, Angola is thus expected to export 35.5 million barrels in August, taking into account the preliminary plan, which may still undergo changes.

Angola should thus increase the volume of exports in August by almost 12 percent compared to the July forecast, in a context in which the government is reviewing the forecast for oil production, the main source of revenue for the economy and which represents the overwhelming majority of the country's exports.

Angola's oil production this year is expected to be 1.193 million barrels of oil per day, a goal 27,000 barrels lower than initial forecasts, but one that the oil minister wants to enforce.

"For 2021, the initial forecast was 1,220,400 barrels of oil per day, however there was a mid-term adjustment and we have a forecast of 1,193,420 barrels and what we are doing is to meet this new forecast," said the Minister of Mineral Resources, Oil and Gas, Diamantino Azevedo, in an interview to Lusa this week.

The official noted that the Angolan production comes mainly from mature fields, which have already reached a production peak and are in a decline phase, which can only be reverted or mitigated with investments in research, having been approved a national strategy to increase the knowledge about the oil potential in Angola.

Also this week, consulting firm Fitch Solutions estimated that oil production in Angola is expected to fall by about six percent by 2025, the year in which this Lusophone African country will pump 1.2 million barrels per day.

"We anticipate that oil production in Angola will fall in the long term, with production of oil, liquefied natural gas and other liquids contracting by an average of 1.8 percent annually over our ten-year forecast, reaching 1.1 million barrels in 2030," the analysts said.

According to an analysis of the Angolan oil sector, sent to investors and to which Lusa had access, the analysts of this consultancy owned by the same owners of the financial rating agency Fitch Ratings write that "the bidding round offers potential for future reserves and production growth, while regulatory and fiscal changes show steps in the right direction to improve appeal to international investors."

In the report, Fitch Solutions writes that "due to small projects becoming operational and the nature of the Organization of Petroleum Exporting Countries cuts in 2021 and 2022, the long-term forecast is improved slightly by positive near-term growth, with production expected to rise 2.2 percent and 7 percent in 2021 and 2022."

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