The Buzz: This Week in Africa
At the beginning of the week, Brent Crude is trading at $73.60 per barrel, WTI at $68.89 and natural gas at $2.84 per million BTU (at 11:51, 6 August 2018, South Africa). Here are AOP’s top five stories from the last seven days.
Egypt: Ministry of Petroleum to offer new exploration tenders
In efforts to increase investment opportunities for oil and gas explorations, Egypt’s Minister of Petroleum, Tarek El Molla has announced that the north African country would be offering new exploration tenders in the Red Sea and West Mediterranean areas.
According to the Egypt Independent, the minster said the tenders would be offered depending on the results of an upcoming seismic survey project conducted by WesternGeco Schlumberger, to take place in December of this year.
Dangote refinery to save Nigeria $7.5 billion
The Dangote refinery is expected to save the country over $7.5 billion through import substitution when it comes on stream.
With a capacity of 650,000 barrels of crude oil per day, the refinery will help the Federal Government create a robust domestic refining sector. Executive Director of the refinery, Devakumar Edwin told the New Telegraph that the refinery is going to save a huge amounty of foreign exchange outflow because forex is being used in the importation of petroleum products and Nigerian foreign reserves are being heavily depleted.
BP wins $46m exploration deal in Egypt
British oil and gas major, BP and the Egyptian General Petroleum Corporation have signed a $46 million oil and gas exploration and production deal for the Eastern Ramadan area in the Gulf of the Suez.
Egypt Oil & Gas Newspaper reports that the deal also included a signing bonus of $4 million to drill three wells.
Total begins production at Angola’s Kaombo
Total has begun production at Kaombo Norte project located on Block 32, 260 kilometers off the coast of Luanda, Angola.
As the first FPSO on the site, Kaombo Norte will produce an estimated 115,000 barrels of oil per day. The second vessel, Kaombo Sul, is expected to start up in 2019.
South Africa: Enel Green Power reaches financial close for wind projects
The Italian group’s South African renewable energy company, Enel Green RSA, has signed financing agreements with Nedbank and ABSA for the construction of the five wind projects.
The projects, located in the Eastern and Northern Cape provinces of South Africa will contribute an estimated 700 MW capacity, with three of them expected to start construction by the first half of next year.