Africa Oil & Gas: Angola LNG produces below-installed capacity

The processing unit of Angola LNG is producing less than 5.2 million tons of liquefied natural gas (LNG) per year, said the Angolan Minister of Mineral Resources and Oil last week in the city of Soyo.

Diamantino Azevedo, who was speaking Thursday at the end of a working visit of a few hours to the units assigned to his sector, said the drop in production was due to the reduced amount of natural gas that comes to the factory from the platforms that explore oil in the region.

The minister, quoted by Angolan state news agency Angop, said that additional investments are needed in drilling more oil wells in the region, in order to increase the natural gas that is channeled to that processing unit “to reach the installed production capacity.”

“This is a challenge that Angola LNG and the country have to take on, in order to achieve capacity and maintain project stability over a long period of time,” he said, noting the interest shown by the company’s managers in reducing production costs to improve efficiency.

Angola LNG is an integrated project for making use of natural gas, with a processing unit, a maritime terminal and loading facilities, as well as the possibility of developing non-associated gas.

The shareholders of Angola LNG Limited are Angola’s Sonangol, with 22.8%, US group Chevron (36.4%) and BP, Italy’s ENI and France’s Total, with 13.6% each. (macauhub)