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in Extractives/Energy

Angola’s Sanha Gas Project Achieves First Production 

Prince Agyapongby Prince Agyapong
December 24, 2024
Reading Time: 4 mins read
WhatsApp Image 2024 12 24 at 10.56.54 30282aab

The Sanha Lean Gas Connection project in Angola’s Benguela province has achieved first gas production, marking a significant milestone in the nation’s energy sector.  

Spearheaded by Chevron’s Angolan subsidiary, Cabinda Gulf Oil Company, this project is set to provide a vital supply of natural gas from Block 0 to the Soyo power plants and the Angola Liquefied Natural Gas (LNG) facility.  

This achievement not only underscores Angola’s commitment to diversifying its economy but also strengthens its energy security and fosters long-term economic opportunities. 

Commenting on the achievement, NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC), highlighted the pivotal role of natural gas in Africa’s energy future.  

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“Chevron is making significant strides towards positioning Angola as a major gas producer.

“This milestone represents a critical step towards economic diversification and enhanced energy security in Angola.”  

NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC)

The AEC, as a strong advocate for natural gas, commended Chevron and its partners for their contributions to advancing Angola’s gas industry. 

The Sanha Lean Gas Connection project, a cutting-edge facility, reached its Final Investment Decision (FID) in 2021 and has since been a beacon of progress in Angola’s energy landscape.  

The first stage of the project is delivering 80 million standard cubic feet per day (mmscf/d) of gas to the Angola LNG plant. The second stage, slated to add another 220 mmscf/d through the Booster Compression module, will significantly increase the total gas feedstock.  

Once operational, Chevron’s feedstock supply to the Angola LNG facility will double to 600 mmscf/d, enhancing the plant’s capacity to meet domestic and international energy demands. 

The Sanha project is central to Angola’s ambition to transform its economy from one heavily reliant on crude oil exports to a diversified energy powerhouse.  

With significant investment from Chevron and the support of Angola’s government, the project creates opportunities across the gas value chain, from exploration to production, and positions the country as a competitive player in the global energy market. 

Angola’s welcoming investment climate has been instrumental in enabling such large-scale projects.  

President João Lourenço and the Ministry of Mineral Resources, Oil, and Gas have actively supported initiatives like Sanha, fostering an environment conducive to foreign investment and technological innovation. 

Expanding Angola’s Gas Portfolio 

bigstock Angola Oil Industry Concept I 267467815 scaled 1 1536x1024 1

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The Sanha Lean Gas Connection project is part of a broader strategy to maximize Angola’s vast gas resources. Most of the Angola LNG facility’s feedstock currently comes from associated gas.  

However, the country is accelerating efforts to develop non-associated gas projects, a key step in boosting its energy security and export capacity. 

In November 2024, Angola’s New Gas Consortium – comprising Azule Energy, Cabinda Gulf Oil Company, Sonangol E&P, and TotalEnergies – finalized commercial agreements for the Quiluma and Maboqueiro gas fields, Angola’s first non-associated gas project.  

“With a $2.4 billion investment and first production expected by late 2025 or early 2026, this project demonstrates Angola’s determination to become a regional hub for LNG and other gas products.

“The ongoing six-year licensing round, launched in 2019, has offered upstream opportunities, particularly in the offshore Kwanza and Benguela Basins.” 

NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC)

In parallel, Angola’s Gas Master Plan (GMP) is set to provide a 30-year roadmap for the country’s gas industry.  

Unveiled for public consultation in October 2024, the GMP aligns with Angola’s National Development Plan (2023-2027) and aims to increase the share of gas in the national energy mix to 25% by 2025.  

The enhanced availability of natural gas also contributes to the development of local power plants, ensuring a stable energy supply for households and industries. 

NJ Ayuk emphasized the transformative impact of such projects, stating, “Through developments like Sanha, Angola is on track to alleviate energy poverty while creating jobs and business opportunities across the entire gas value chain.” 

With significant milestones like the Sanha Lean Gas Connection project and the Quiluma and Maboqueiro gas fields, Angola is positioning itself as a leader in Africa’s gas industry.  

These developments signify a paradigm shift in the country’s energy sector, from an oil-dependent market to a diversified economy harnessing its natural gas resources. 

READ ALSO: Ghana’s Education in Crisis  amid Funding Woes 

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Tags: energy sectorGas productionliquefied natural gas (LNG)Sanha Gas ProjectTotalEnergies
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