Angola, Total partner up and downstream

PARIS, May 29, 2018 – The Angolan government, Sonangol and Total have agreed to strengthen their co-operation up and downstream, the French super-major announced Monday.

Sonangol and Total signed a framework agreement for a joint venture that will develop a chain of petrol stations in the country, including petroleum product logistics and supply.

The parties also inked a risk service agreement for ultra-deepwater Block 48. Total is the operator in a 50/50 partnership with Sonangol and is set to drill two wells in the first two-year stage of the programme.

“As today’s agreements and the launch of the Zinia 2 development demonstrate, Total, as Angola’s main oil and gas producer, continues to help develop the country’s oil and gas resources. The group appreciates the joint efforts of the Angolan authorities, Sonangol and the industry to enhance taxation framework and regulations. These changes are vital to revive investment in this key sector of the Angolan economy and develop new projects, including those planned in Block 17,” said Total CEO Patrick Pouyanné. “First oil from Kaombo in summer 2018 will be the next milestone in the history of Total in Angola.”

The same day, news agency Angop reported that a presidential decree dated May 24 authorised the deduction of the 40% investment premium on the Petroleum Income Tax for Block 48.