Oil reserves rise to the equivalent of 10 years of production

Proved oil reserves are currently valued at 6000 million barrels, equivalent to the current rate of 10 years of production, but only a third with low cost.

The information is contained in the eurobond issue prospectus. The document of more than 200 pages supporting the operation of placing public debt securities in foreign currency, states that 3700 million barrels of oil were discovered in Angola and 850 million barrels of gas.

"In addition to expanding Angola's oil reserves, these new discoveries have generated substantial commercial discovery bonus payments by groups of contractors to the State", the same document reads.

In 2015, the management of Sonangol, the state-owned oil concessionaire, had announced that oil reserves in Angola were then valued at between 3500 million barrels (proved category) and 10,800 million barrels (probable category).


In the information given to investors, dated this month, the Government updates these values ​​to 6,000 million barrels of oil in the proven category and 8,200 million barrels of the probable category.

With more than 1.6 million barrels of crude per day, our country is the second largest producer of oil on the African continent, a product that guarantees more than 95 percent of national exports. At this rate of production, proven reserves guarantee 10 years of production.

However, the same document admits, 66.5 percent of the reserves are in deep waters, with higher production costs, while the cheaper, shallow water reserves represent 33.3 percent.

In turn, investment in the oil sector, largely carried out by multinationals that operate the oil blocks, fell from US$20,190 million in 2014 to US$5,945 million in 2017.

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