Angola is producing about 1.1. million barrels per day of crude, similar to its level before it exited the Organization of the Petroleum Exporting Countries, and expects to maintain those volumes at least until 2027.
Output at Africa’s second-largest crude oil exporter has declined steadily since hitting a peak of 2 million barrels per day (bpd) in 2008. It aims to produce more natural gas to counter part of the oil decline.
“Our aim is at least to keep this level of production until 2027-2030,” said José Barroso, Angola’s secretary of state for oil and gas.
He said the rate of decline of Angola’s fields was 15% per year and the country was trying to bring on some reserves while embarking on an aggressive campaign to attract investors.
Major discoveries in areas like Guyana have meant more competition for mature provinces like Angola, said Barroso.
“Newcomers are bringing more competition to the industry because investors now have the choice to invest in one place or another,” he said.
Angola left OPEC at the end of the 2023, following a row with the producer group over the size of its output quota.
“If you set a production level below our actual potential, it could jeopardize current investment and eventually future investment. That’s why we decided to leave OPEC,” Barroso said.
However the country’s secretary of state for oil and gas said there is still collaboration between OPEC and Angola and the door is not closed to an eventual return.
“We never closed the door, we keep on talking as we may have common interests in some areas and we are still discussing, talking to the people,” said Barroso.
Angola is happy with an oil price that ranges between $85 and $90 saying it is good for producers and buyers.
(Reporting by Arathy Somasekhar in Houston; Editing by David Gregorio)