Page 5 - AfrOil Week 12 2023

AfrOil COMMENTARY AfrOil

He explained that first crude test runs would various objectives identified in the National
begin in the first half of December. Development Plan 2018-2022.” According
Gemcorp holds a 90% stake in the project to Quanten’s website and various previous
alongside state-owned Sonangol, with the Brit- announcements about the project, the refinery
ish firm responsible for the cost of construction. will produce gasoline, low-sulphur diesel, jet
This was previously estimated at $920mn, with fuel and asphalt.
the first previously quoted at $220mn. The refin- Emphasis has also been put on the refinery’s
ery is being constructed around 30 km north of potential to produce cleaner fuels, with Thomas
the provincial capital and is expected to produce noting: “The Euro-5 standard mandates 10 parts
gasoline, diesel, fuel oil and Jet A1. per million for sulphur content; we are going to
be at 5 ppm,” while there may also be some form
Soyo work of biofuel blending.
Meanwhile, around 100 km to the south, The consortium’s website notes that its “team
US-based Quanten Consortium is working to members, affiliates, subcontractors and advo-
prepare the site for a 150,000-bpd greenfield cates may include (subject to negotiations and
plant at Soyo. contracts):” KBR, McDermott, Cisco, Berklee
The group signed a deal in August 2022 with University’s Renewable and Appropriate Energy Refinery
Angola Private Investment and Export Promo- Laboratory (RAEL), the US government’s
tion Agency (AIPEX) for the development of Department of Commerce, Department of State construction
Soyo, an intended greenfield refinery located in and its Prosper Africa initiative.
northern Zaire Province slated for completion Consequently the contract for development will improve
in late 2025. According to Jornal de Angola, the also covers all associated connectivity, includ- fuel supplies
project will create “900 direct jobs, of which 77% ing access roads, a power plant with a capacity
(700) are for nationals.” of 60-100 MW and a marine terminal. while cutting
Quanten consists of TGT, Aurum & Sharp
and local technical services company ATIS Benefits for Angola energy import
Nebest-Angola. The consortium was awarded a Angola’s Minister of Mineral Resources H.E.
$3.5bn build, own and operate (BOO) contract Diamantino de Azevedo expects the construc- expenses
by Angola’s Ministry of Mineral Resources and tion of the new refineries to improve energy
Petroleum (MIREMPET) in 2021, holding a supplies to the country while reducing incurred
90% stake in the refinery, with NOC Sonangol costs from energy imports.
holding the remainder. Angola is spending more than $1.7bn per
The partners laid the foundation stone in year on petroleum product imports to meet
May 2022 in a seven-sq km plot in the town of domestic demand, highlighting the lack of
Matanga, later announcing that they are work- processing capabilities despite the country’s
ing to a project timeline that envisages comple- large oil and natural gas reserves (7.8bn barrels
tion in late 2025. Speaking a month later, Segun and 11 trillion cubic feet (312bn cubic metres
Thomas, the consortium’s managing partner, respectively).
said: “What they are doing now is to make sure Expanded refinery infrastructure will not
the place is landmine free, for which we will get resolve the country’s economic woes. Even so,
a certificate. The project complies with the new it is likely to play a meaningful part in the solu-
private investment policy and responds to the tion. ™

Soyo refinery groundbreaking ceremony (Photo: Quanten Consortium Angola)

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