TotalEnergies last week concluded its Final Investment Decision (FID) of the Kaminho deepwater project, where it holds a 40% stake along with its Block 20/11 partners, Petronas (40%) and Sonangol (20%).
The decision was announced on 20 May 2024, in Luanda, when chairman and chief executive officer of TotalEnergies, Patrick Pouyanné, met with Angolan president, João Lourenço.
Also attending the meeting were Angola’s mineral resources minister (oil & gas), Diamantino Azevedo, chairman and chief executive officer of concessionaire ANPG, Paulino Jerónimo, and chairman and chief executive officer of Sonangol Gaspar Martins. TotalEnergies, which has been present in Angola since 1953, announced the FID of the Kaminho project to develop the Cameia and Golfinho fields, located 100km off the coast of Angola, at a water depth of 1700m in the Kwanza basin.
In a media statement issued yesterday, TotalEnergies noted the FID was made possible thanks to close collaboration with the concessionaire Agencia Nacional de Petroleo e Gas (ANPG).
“The Kaminho project which is the first large deepwater development in the Kwanza basin comprises the conversion of a Very Large Crude Carrier (VLCC) to a Floating Production Storage and Offloading (FPSO) unit, which will be connected to a subsea production network. Designed to minimise greenhouse gas emissions and eliminate routine flaring, this FPSO is all-electric and associated gas will be fully reinjected into the reservoirs. Production start-up is expected in 2028, with a plateau of 70 000 barrels of oil per day,” TotalEnergies stated in a statement.
It said the Kaminho project will involve over 10 million man-hours in Angola, mainly with offshore operations and construction at local yards.
At the same occasion, TotalEnergies and Sonangol EP also signed a Memorandum of Understanding to share expertise on Research & Technology, notably in decarbonisation of the oil and gas industry, with a strong focus on methane emissions reduction and renewable energies. TotalEnergies’ teams have pledged support to Sonangol EP for the start-up and operation of its new Sumbe R&D centre and for the development of the skills of the Sonangol research and technology teams, with a focus on reservoir geology, process electrification and photovoltaics.
“Building on our pioneering spirit and our long-term partnership with Angola, we are pleased to launch the Kaminho project along with our strategic partners, Sonangol and Petronas, and the strong support and confidence of the Angolan authorities. This project, which leverages innovation to fit with our investment criteria - breakeven under US$30/b and carbon intensity of 16kg CO2e/boe (barrel of oil equivalent) will become our seventh FPSO in the country and the first-ever development in the Kwanza basin,” said Pouyanné.
“We look forward to joining forces with Sonangol in technology to promote innovation and low carbon technologies for the energy industry in Angola, in particular to slash methane emissions and contribute to the diversification of Angola’s energy mix,” Pouyanné added.
Meanwhile, minister De Azevedo highlighted the importance of the partnership between TotalEnergies, Sonangol and Petronas to make the Kaminho project possible: “This partnership is for us of extreme importance, as it creates a joint operating entity between Sonangol and TotalEnergies in production phase. It is also relevant that the contracts signed today include national companies and contribute to local content with more than 10 million hours of work to be performed by local companies.”
ANPG’s Jerónimo said: “The first development in the maritime zone of the Kwanza basin is important to showcase the opening of new oil frontiers in Angola, and it’s part of our strategy to keep Angola on the top of African oil producers, bringing important income to our economy.”
Sonangol’s Martins also commented: “The final investment decision of Kaminho project materialises the commitment and efforts made by the Angolan government, through its Ministry and National Concessionaire, and TotalEnergies, Sonangol and Petronas as partners. They allowed the right conditions to contribute to increasing national production of oil and natural gas, and with that the revenues for the country.”
Also present at the meeting, Petronas President and Group CEO, Tan Sri Tengku Muhammad Taufik, said: “This milestone is in line with Petronas’ continued efforts to strengthen our international portfolio by participating in prospective regions in Africa with trusted partners. Reaching the FID for this development in the Kwanza basin further demonstrates our steadfast commitment to deliver much-needed reliable energy to our customers and sustainable long-term value to our stakeholders.”