Azule Energy Angola BV has awarded a contract to subsidiaries of Sapura Energy Berhad for offshore transportation and installation services in Angola.
The wholly owned subsidiaries are Sapura Offshore Sdn. Bhd, Sapura Energy DMCC and Sapura Energy Engineering & Construction, LDA, according to a Sapura Energy company announcement on Bursa Malaysia on Wednesday.
The value of the contract is approximately USD 300 million, or MYR 1.4 billion. The scope of work, which is expected to be completed in the fourth quarter of 2026, includes engineering services, transportation, installation and related activities on the Quiluma and Maboqueiro platforms for the Angola New Gas Consortium project ( NGC), according to the announcement.
According to the company’s website, the NGC project aims to develop and produce non-associated gas located in offshore gas fields to supply Angola with liquefied natural gas (LNG), with the aim of improving export capacity of gas in the country. The NGC will be operated by Azule Energy and is an unincorporated joint venture with Sonangol P&P, Chevron and Total. Non-associated gas from the first phase of the project will come from the shallow Quiluma and Maboqueiro field with additional gas-related potential from Blocks 2, 3 and 15/14. Azule Energy expects first gas production in the second half of 2026 and peak production of 300 million standard cubic feet per day.
PSA for block 31/21
In August, Angola’s National Oil, Gas and Biofuels Agency and Azule Energy, in partnership with Equinor, signed a production sharing agreement (PSA) for Block 31/21. The deal, the result of the 2021/2022 Limited Offshore License Round, is a “significant advance towards the advancement of exploration in the Lower Congo Basin,” Azule Energy said in an earlier press release.
The block, which will be operated by Azule Energy with a 50 percent stake, covers an area of ​​approximately 4,500 square kilometers (1,737.5 square miles) in the basin’s deep waters. It is located 170 kilometers (105.6 miles) offshore and has a total of 12 discoveries. The company said there is remaining exploration potential in an area with existing infrastructure of block 31 PSVM.
The contract includes the drilling of one exploratory well during the initial exploration period, which will last five years, according to the release. Block 31/21 is the first exploration block the company has started since the joint venture between BP plc and Eni SpA was established in August 2022.
“The signing of the PSA for Block 31/21 expands Azule’s operating position in this proven and well-known oil system where Azule Energy had great exploration success and discovered large oil accumulations in adjacent blocks” , said Adriano Mongini, CEO of Azule Energy. “Azule Energy is very proud to strengthen its position as a strategic partner of Angola and as the largest independent oil and gas producer in the country.”
Association for decarbonization
Meanwhile, Azule Energy and Angola’s state oil company Sonangol signed a memorandum of understanding (MoU) earlier this month to boost decarbonisation initiatives and promote the use of clean energy.
Key objectives of the MoU include identifying shared interests in the decarbonisation space, establishing a robust framework for evaluating potential collaborations and exploring opportunities for renewable energy projects such as solar and wind power, low carbon businesses such as ‘blue hydrogen, as well as nature- solutions based on forestry and the promotion of efficient stoves, according to an independent press release from Azule Energy.
“The decarbonization process is part of Azule Energy’s mission, with the aim of strengthening Angola’s energy sector, while the country works towards carbon neutrality and other sustainable development goals,” he said Mongini
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