Angola’s modest oil output goal reveals a truth on global supply
Want proof of how hard it is for some oil-producing countries to lift supply? Look no further than the west African nation of Angola.
State Secretary for Petroleum and Gas Jose Barroso said Thursday that the country aims to keep production above 1.1-million barrels a day in the coming years.
As ambitions go it’s a very modest one: in 2007, when Angola joined the Organization of Petroleum Exporting Countries, it was pursuing a production target of 2-million barrels a day. It highlights a schism within OPEC+, the alliance of global producers who are meant to be boosting their collective production: some nation’s can -- others are struggling.
Angola has the right, under the terms of the pact, to pump 1.33-million barrels a day in September, increasing to 1.45-million barrels by April. Instead, production has been going in the opposite direction, drifting lower even as its OPEC+ target has been rising.
The country relies on foreign oil companies to extract crude from fields thousands of meters below the waters of the Atlantic Ocean. The 2014 oil price crash hit investment in its oil sector hard and production began to fall two years later, when the flow of projects that were already in development came to an end. Crude production fell by a third in little more than four years.
More recently, the nation’s production problems have been compounded by disruption from Covid-19, that has forced companies to delay drilling at existing oilfields, according to Dominic Smith, an upstream research analyst for sub-Saharan Africa at Wood Mackenzie.
If Angola can’t rekindle the interest of foreign oil companies, who are already turning away from costly and uncertain deepwater projects in the face of climate change, even its new output target may soon look optimistic.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Established in 1983, the ASTPM is an industry association and representative body of the welded carbon steel tube and pipe manufacturers of South...
VISIT SHOWROOM
AirNox (Pty) Ltd is a level 1 BBBEE manufacturer of complete AdBlue® solutions for operators of SCR diesel engines and AUS40 across South Africa...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
