At the beginning of the week, Brent Crude is trading at $65.96 per barrel, WTI at $62.07 natural gas at $2.69 per million BTU (at 12:12, 19 March 2018, South Africa). Here are AOP’s top five stories from the last seven days.
Angola: Production begins at Ochigufu Field
Last week Friday, Eni and Sonangol announced the start of oil production from the Ochigufu field in Block 15/06 of Angola’s deep offshore.
Located in 1300m of water depth at approximately 150 km west from Soyo and 380 km North West from Luanda, the field will add 25 000 barrels to Angola’s current production levels.
The start of production comes just a year and half since the presentation of the plan of development.
The project is the first start-up for Eni and Angola this year.
GolarLNG FLNG Project begins Production
The project by Golar LNG began production at the Hilli Episeyo floating LNG production platform in Cameroon, making it the world’s second project to do so.
The world’s first FLNG project came on-stream in Malaysia in 2017 and was developed by energy giant, Petronas. However, the project has been operating at a fraction of its production capacity.
The start of production on the Hilli Episeyo FLNG project, could speed up Golar’s progress in Equatorial Guinea, where FID on the Fortuna FLNG project was delayed after three Chinese banks pulled out last year.
Firms Bid to Buy Zambian Oil Refinery
Seven firms submitted bids to buy majority stake in Zambia’s Indeni Petroleum Refinery.
Zambia is currently seeking a strategic partner to work with them in the 24 000 barrels per day Indeni Petroleum Refinery built in 1971.
According to the Zambia Development Agency, Glencore Energy UK Ltd, Vitol SA, China Petroleum Technology and Development Corporation and Philia Trading were among the firms that submitted bids.
Total Wins Major Fuel Tender in Angola
Sonangol, Angola’s state oil company awarded its rare refined products buy tender to Glencore and Total.
In the tender issued in January of this year, Total will supply gasoline and Glencore will supply the country with diesel. According to Reuters, Sonangol is expecting the new tender award to bring a significant reduction to fuel import costs.
The contract will last one year, with an option for a nine-month extension.
SDX Energy Makes Oil Discovery in Rabul 5 Well
SDX Energy Inc. has made an onshore discovery at its Rabul 5 well in Egypt’s West Gharib Concession.
The well was drilled to 5,280 feet, total depth, and encountered approximately 151 feet of net heavy oil pay across the Yusr and Bakr formations, with an average porosity of 18 percent.
Further evaluations of the discovery are still being done.
SDX plans to move to Rabul 4 after the completion of Rabul 5. The North Africa focused oil and gas company holds 50 percent joint operated stake in the West Gharib Concession.