Total Energy, one of the largest energy companies in the world, is preparing to stop the Dalia offshore field in Angola for a period of 35 days, which may reduce its total oil production during the month of March 2023.
A spokesman for the French company said that this stop will start on February 20, 2023, to enter the field in periodic maintenance work, according to Reuters.
Maintenance work includes checking the condition of subsea equipment and pipelines, as well as flare columns used to burn gases released during production operations.
The field’s production is 200,000 barrels
The production of the Dalia oil field in Angola is approximately 200,000 barrels per day, and traders dealing with the offshore oil field expect that export shipments will be completely cut off during the month of March 2023, due to maintenance that requires the closure of wells and platforms.
This is expected to affect Angola’s export plans during the month of March 2023, to drop it to only 30 shipments, according to the specialized energy platform.
The French company tended to partially exit from some Angola oil projects during the past year, before returning in mid-2022 to confirm investment in other fields.
On January 18, 2022, Total Energy announced the signing of a deal to sell some of its non-operating stakes in Angola to the local company Sumuel, as part of a plan aimed at focusing on assets with low costs and emissions.
The deal included the sale of the French company’s 50.01% stake in Angola Block 14 BV joint venture, according to specialized platform S&P Global.
The signing of the sale deal came in conjunction with the decline in Angola’s oil production during 2021, to its lowest level in 17 years.
The average production of the country located in south-central Africa, during 2021, was approximately 1.13 million barrels per day, while it reached approximately 1.9 million barrels per day during 2008, which is the record peak year that is always referred to to measure the progress and decline of production at the level of all oil projects in the country. .
Angola bypasses Nigeria for theft
Angola ranked second among the largest oil-producing African countries until 2021, but the stagnation of production in Nigeria due to the exacerbation of the phenomenon of theft made it ranked first in 2022, according to what was monitored by the specialized energy platform.--
Angola began drilling for oil during the colonial era in 1915, to announce the first offshore oil discovery in 1968, and then gained independence from Portugal in 1975.-
The country gained membership in OPEC in 2007, and oil production currently accounts for nearly 50 percent of its gross domestic product, according to the specialized energy platform.
A number of international companies have a strong presence in the Angolan oil and gas sector, most notably the French Total Energy, the American Exxon Mobil, the British oil company BP, and the Italian Eni.
Total is investing in two new fields
The Angolan government offers many incentives to international companies to strengthen their presence in the sector as part of a plan aimed at reaching a production rate of 1.3 million barrels per day over the next 3 years.
In this context, France’s Total Energy made a decision, in July 2022, to make a final investment in the Begonia oil field off the coast of the country.
This field consists of 5 wells with an expected production capacity of 30,000 barrels per day, and the initial investment cost in the field is approximately $850 million.
The French company’s board of directors also approved the final investment in Angola’s first two non-associated gas projects, Quilma and Mapukweru.
It is expected that the production of these two fields will start in mid-2026, provided that the gas extracted from them will be transported to the Angola Liquefied Natural Gas (ALNG) terminal, in preparation for exporting it abroad.
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