The Buzz: This Week in Africa

At the beginning of the week, Brent Crude is trading at $78.51 per barrel, WTI at $73.36 and natural gas at $2.90 per million BTU (at 11:36, 2 July 2018, South Africa). Here are AOP’s top five stories from the last seven days.

Eskom signs $100m loan with the German Development Bank

South African power utility, Eskom has signed a $100 million loan agreement with the German Development Bank to connect renewable power projects run by independent producers to the national grid.

In a statement released on Friday, Eskom said the loan is a positive contribution towards the successful execution of its R72 billion funding requirement for the 2018/2019 financial year.

Eni makes oil discovery in offshore Angola

Italian multinational oil and gas company, Eni has announced that it made a new oil discovery in Block 15/06 in the Kalimba exploration prospect in Angola’s deep offshore.

The Kalimba-1 NFW well was drilled by the West Gemini drillship at a water depth of 458 meters and reached a total depth of 1901 meters. “The discovery opens new opportunities for oil exploration in the Southern part of Block 15/06, so far considered mainly gas prone, thus creating new changes for additional potential value in the block,” said Eni in a statement released on Monday.

Anadarko to reach FID on Mozambique LNG Export Project in 2019

American petroleum and natural gas exploration and production company, Anadarko announced on Wednesday that it expects to reach final investment decision in the first half of 2019 on its first liquefied natural gas export terminal in Mozambique.

According to a Reuters report, Mitchell Ingram, Anadarko’s executive vice president, international, deepwater and exploration, said at the World Gas Conference in Washington, D.C., that the U.S. oil and gas producer was ready to move forward with the Mozambique project after lining up enough customers for the LNG.

The LNG project located between the Asia-Pacific and European markets will consist of two liquefaction trains with the capacity to liquefy 12.88 MTPA to support the development of the Golfinho/Atum fields located entirely within Offshore Area 1.

Libya: Oil production drops to 315,000 bpd

As a result of storage tanks at Hariga and Zueitina ports filling up due to eastern officials blocking exports, Libya’s oil production has dropped from 1 million to 315,000 bpd.

According to reports by Libyan Express, two thirds of storage capacity at eastern ports are inactive and the remaining capacity is nearly full.

Oil Prices reach a three year high

On Thursday oil prices reached a three and a half year high amid falling U.S. stockpiles and U.S./Iranian tensions. The West Texas Intermediate was at $73.52 a barrel, while Brent crude rose to $77.90. At 09:47 this morning oil prices continue to rise with Brent Crude trading at $78.44 per barrel, WTI at $73.73 and natural gas at $2.89 per million BTU.