Page 4 - AfrOil Week 12 2023

AfrOil COMMENTARY AfrOil

Cabinda refinery construction site (Photo: Sonangol)
Angolan oil refineries

making overdue progress

After years of waiting, two new plants are slated for launch by 2026

AFTER many years of waiting, Angola is set to begin its first phase of production in mid-
expected to see the launch of two new refineries 2024, with CEO Tom Di Giacomo telling an
WHAT: between now and 2026. African refiners conference in Cape Town that
Angola is finally starting This week an update was provided on the the first phase would consist of a 30,000-bpd
to gain some momentum 60,000 barrel per day (bpd) Cabinda refinery, crude unit producing naphtha, jet fuel, diesel
in efforts to build out its while work is progressing on the larger Soyo and heavy fuel.
downstream sector. plant. The new developments are part of Ango- Speaking to Reuters, he said: “How long will
la’s drive to improve domestic refining to reduce the war in Ukraine continue? That’s already
WHY: its import requirements. The country imports impacted our procurement, because some
Opening more domestic 80% of its oil derivatives and plans are in place prices have increased since the initial expend-
refineries will allow
Angola to monetise more for three new plants with a combined capacity iture plans.” He added: “The government of
of its own resources. of 360,000 bpd. Angola wants it to be as soon as possible; how-
Currently, the country has just one opera- ever, it takes a long lead time for some of the
WHAT NEXT: tional refinery, the 65,000 bpd Luanda facility, procurement of equipment, such as pumps and
Two projects underway which has also been undergoing a $235 devel- compressors”.
could bring around opment to expand its capacity to 72,000 bpd In February, Marcus Weyll, director-general
210,000 bpd of new refin- since 2022 – a development which the Ministry of the refinery’s key backer, UK-based Gemcorp,
ing capacity on stream by of Mineral Resources has said will aid Angola in explained that tests were set to begin at the end
the end of the decade. saving $200mn in energy export costs. of 2023.
He added: “The company is committed to
Cabinda comments commissioning the refinery’s first phase during
The $1bn Cabinda refinery – initially Q4, and will swiftly move forward with work on
expected to begin production in 2022 – is now the second and third phases.”

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