{"id":12209,"date":"2022-05-05T09:23:43","date_gmt":"2022-05-05T09:23:43","guid":{"rendered":"https:\/\/www.oilnewskenya.com\/?p=12209"},"modified":"2022-05-05T09:23:43","modified_gmt":"2022-05-05T09:23:43","slug":"angola-sirius-somoil-sign-spa-with-sonangol-to-acquire-offshore-blocks-18-31-and-27","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/angola-sirius-somoil-sign-spa-with-sonangol-to-acquire-offshore-blocks-18-31-and-27\/","title":{"rendered":"ANGOLA: Sirius, Somoil Sign SPA with Sonangol to acquire offshore Blocks 18, 31 and 27"},"content":{"rendered":"<div>\n<p class=\"bi\"><span class=\"az\">Sirius <\/span><span class=\"az\">and its local JV partner, Somoil S.A have<\/span><span class=\"az\"> announced that\u00a0<\/span><span class=\"az\">the joint Sirius-Somoil<\/span><span class=\"az\">\u00a0<\/span><span class=\"az\">consortium, <\/span><span class=\"az\">has signed a legally binding Sale and Purchase Agreement (SPA) with<\/span><span class=\"az\"> Sonangol Pesquisa e Produ\u00e7\u00e3o S.A.<\/span><span class=\"az\">\u00a0to acquire participating interests of 8.28% and 10% respectively in the producing Angolan offshore Blocks 18 and 31 and a\u00a0<\/span><span class=\"az\">25%\u00a0<\/span><span class=\"az\">participating<\/span><span class=\"az\"> interest in the exploration Block 27, for a total consideration of US$335.5m .<\/span><\/p>\n<p class=\"\"><b>Proposed Acquisition Summary<\/b><\/p>\n<ul>\n<li>Acquiring non-operating interests in prolific deepwater production assets with strong cash flow characteristics.<\/li>\n<li>Current gross production from Blocks 18+31 is averaging c.160,000 bopd.<\/li>\n<li>Net production entitlement to the Consortium expected to average 15,500 bopd.<\/li>\n<li>Significant cash flow entitlement given low operating costs and unrecovered costs<\/li>\n<li>Major medium and long-term development upside.<\/li>\n<li>Sirius-Somoil will be making targeted investments in Sonangol social projects in Angola as part of its committed strategy of working with partners to improve lives through sustainability initiatives in the community.<\/li>\n<\/ul>\n<\/div>\n<p><strong>Block 31 &#8211; Producing<\/strong><\/p>\n<ul>\n<li>Acquiring a 10.0% interest for a total consideration of US$170m.<\/li>\n<li>Unrecovered development cost balance of c.$14bn boosts contractor group entitlements, enhancing overall EBITDA\/bbl and long-term returns.<\/li>\n<li>The Block is operated by BP Angola\u00a0and is located offshore\u00a0some 400 kilometres north west of Luanda.<\/li>\n<li>The block consists of four oil fields; Plut\u00e3o, Saturno, V\u00e9nus and Marte (PSVM), which were discovered between 2002 and 2004 in water depths of up to 2,000 metres in the North East part of Block 31.PSVM is the second BP-operated development in Angola and production started up in December 2012.Licence partners are currently BP (26.67%), Equinor (13.3%), Sinopec International (15%), Sonangol (45%).<\/li>\n<\/ul>\n<ul>\n<li>Current gross production from the block is averaging c.80,000 bopd.<\/li>\n<li>Gross 2P\/2C reserves of 275mmbbls relate to existing production and sanctioned developments, according to the operator.<\/li>\n<li>Further gross 2C resources of\u00a0516 mmbbls from existing discoveries, according to Gaffney Cline &amp; Associates.<\/li>\n<li>Future payments, on new developments within the block, are contingent on sustained high oil prices (&gt;=$75\/bbl) and first oil from long-term developments.<\/li>\n<\/ul>\n<p><strong>\u00a0 Block 18 \u2013 Producing<\/strong><\/p>\n<ul>\n<li>Acquiring an 8.28% interest for a total consideration of US$165m.<\/li>\n<\/ul>\n<ul>\n<li>The block is operated by BP Angola and is located offshore, 160 kilometers northwest of Luanda. Eight discoveries have been made in this block, of which the fields Galio, Cromio, Cobalto, Paladio, and Plutonio make up the first producing complex known as Greater Plutonio.<\/li>\n<li>Production started in 2007 and remains at material levels.Late last year the\u00a0Platina project started production\u00a0adding significant volumes and reserves to total block production.\u00a0Licence partners are currently BP (26.67%), Equinor (13.3%), Sinopec International (15%), Sonangol (45%).<\/li>\n<li>Current gross production from the block is averaging c.80,000 bopd.<\/li>\n<li>Gross 2P\/2C reserves of 220mmbbls relate to existing production and sanctioned developments, according to the operator.<\/li>\n<li>Future payments, on new developments within the block, are contingent on sustained high oil prices (&gt;=$75\/bbl) and first oil from long-term developments.<\/li>\n<\/ul>\n<p><strong>Block 27 &#8211; Exploration<\/strong><\/p>\n<ul>\n<li>The Consortium is acquiring a 25.0% non-operated interest in this deepwater exploration and appraisal block for a total consideration of US$0.5m.<\/li>\n<li>The block is located offshore in the Kwanza basin, an area known for its gas potential.<\/li>\n<\/ul>\n<p class=\"\">The Proposed Acquisition is conditional upon satisfactory due diligence (\u201cDD\u201d) being conducted and following signing of the SPA the Consortium will enter a period of DD of the data for blocks 18, 31 and 27 supplied to the Consortium by Sonangol.\u00a0\u00a0The economic effective date of the Transaction is April 2022. Completion is expected to take place in 2022, subject to customary conditions and approvals.<\/p>\n<p class=\"\">The Consortium expects that the Proposed Acquisition will be financed through the provision of new debt facilities.<\/p>\n<p class=\"\">Commenting, Bobo Kuti, CEO of Sirius, said: \u201cThe acquisition of these interests in such world class producing assets, operated by a supermajor, is in line with our strategy to build a high-quality portfolio of African producing and development assets. We are excited by the long-term growth upside that these assets present and the scale that they bring to the Sirius platform. We have developed a very strong working partnership with Somoil in Angola and look forward to working together as we progress to the completion of this acquisition and to building a significant presence together in Angola.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Sirius and its local JV partner, Somoil S.A have announced that\u00a0the joint Sirius-Somoil\u00a0consortium, has signed a legally binding Sale and Purchase Agreement (SPA) with Sonangol Pesquisa e Produ\u00e7\u00e3o S.A.\u00a0to acquire &hellip; <a href=\"https:\/\/www.oilnewskenya.com\/index.php\/angola-sirius-somoil-sign-spa-with-sonangol-to-acquire-offshore-blocks-18-31-and-27\/\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":11799,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[7442,7445,11],"tags":[160,269,10422,10421,346,10430,10429,10428,8460,10427,10431,10424,10432,10425,10423,9625,2362,10426],"class_list":["post-12209","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-countries","category-southern-africa","category-top-news","tag-angola","tag-block-18","tag-block-27","tag-block-31","tag-bp","tag-cobalto","tag-cromio","tag-galio","tag-kwanza-basin","tag-marte","tag-paladio","tag-plutao","tag-plutonio","tag-saturno","tag-sirius","tag-somoil","tag-sonangol","tag-venus","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/02\/Angola_Map_Detail.png?fit=2048%2C2048&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-3aV","jetpack-related-posts":[{"id":10909,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-anpg-announces-the-2020-bidding-blocks-winners\/","url_meta":{"origin":12209,"position":0},"title":"ANGOLA: ANPG Announces the 2020 Bidding Blocks Winners","author":"","date":"September 27, 2021","format":false,"excerpt":"The National Agency for Petroleum, Gas and Biofuels (ANPG), acting as a National Concessionaire, pursuant to Decree No. 86\/18, of 2 April, which establishes the Rules and Procedures for Tenders for the Acquisition of Member Status of the National Concessionaire and for the Contracting of Goods and Services in the\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Angola-Blocks-2020.jpg?fit=901%2C1200&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Angola-Blocks-2020.jpg?fit=901%2C1200&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Angola-Blocks-2020.jpg?fit=901%2C1200&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Angola-Blocks-2020.jpg?fit=901%2C1200&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":13006,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-pttep-to-sell-block-17-06-project-in-angola-to-somoil\/","url_meta":{"origin":12209,"position":1},"title":"ANGOLA:  PTTEP to sell Block 17\/06 Project to SOMOIL","author":"","date":"December 21, 2022","format":false,"excerpt":"PTTEP has entered into a Sale and Purchase Agreement (SPA) to sell its entire 2.5% participation interest in the Block 17\/06 Project in Angola to\u00a0SOMOIL. Completion of the sale is expected by mid-2023 subject to the conditions prescribed in the SPA. The Block 17\/06 Project is an offshore oil field\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/angola-block-17.jpg?fit=750%2C500&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/angola-block-17.jpg?fit=750%2C500&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/angola-block-17.jpg?fit=750%2C500&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/05\/angola-block-17.jpg?fit=750%2C500&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":13225,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-galp-signs-agreement-with-somoil-for-the-sale-of-assets\/","url_meta":{"origin":12209,"position":2},"title":"ANGOLA: Galp Signs Agreement with SOMOIL for the Sale of Assets","author":"","date":"February 14, 2023","format":false,"excerpt":"Galp has signed an agreement with SOMOIL - Sociedade Petrol\u00edfera Angolana S.A. for the sale of its upstream assets in Angola.Proceeds are expected to reach c.$830 m, already net of capital gain taxes, including c.$655 m to be received until completion and $175 m in contingent payments due in 2024\u2026","rel":"","context":"In &quot;Southern Africa&quot;","block_context":{"text":"Southern Africa","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/southern-africa\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/02\/ANGOLA-GALP-1.jpg?fit=750%2C357&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/02\/ANGOLA-GALP-1.jpg?fit=750%2C357&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/02\/ANGOLA-GALP-1.jpg?fit=750%2C357&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/02\/ANGOLA-GALP-1.jpg?fit=750%2C357&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":11625,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-totalenergies-sells-its-non-operated-interest-in-block-14\/","url_meta":{"origin":12209,"position":3},"title":"ANGOLA: TotalEnergies sells its non-operated interest in block 14","author":"","date":"January 17, 2022","format":false,"excerpt":"TotalEnergies has signed an agreement to sell, jointly with Inpex, the company Angola Block 14 B.V. to the Angolan Company Somoil. The transaction is subject to the approval of the Angolan authorities. Angola Block 14 B.V., owned by TotalEnergies Holdings International B.V. (50.01%) and Inpex Angola Block 14 Ltd (49.99%)\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/01\/Angola-block-14.jpeg?fit=366%2C500&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":14099,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-azule-energy-signs-risk-service-contracts-for-blocks-18-15-46-and-47\/","url_meta":{"origin":12209,"position":4},"title":"ANGOLA: Azule Energy Signs Risk Service Contracts for Blocks 18\/15, 46 AND 47","author":"","date":"December 20, 2023","format":false,"excerpt":"The National Agency for Oil, Gas and Biofuels and Azule Energy signed the Risk Service Contracts (RSCs) for offshore Blocks 46 and 47 in partnership with Equinor and Sonangol Pesquisa e Produ\u00e7\u00e3o, S.A., and for Block 18\/15 in partnership with Sonangol P&P. The RSCs, resulting from direct negotiations, represent another\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/12\/Azule-Energy.png?fit=750%2C421&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/12\/Azule-Energy.png?fit=750%2C421&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/12\/Azule-Energy.png?fit=750%2C421&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/12\/Azule-Energy.png?fit=750%2C421&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":13650,"url":"https:\/\/www.oilnewskenya.com\/index.php\/angola-anpg-totalenergies-sonangol-sign-hoa-for-development-of-the-cameia-and-golfinho-fields\/","url_meta":{"origin":12209,"position":5},"title":"ANGOLA: ANPG, TotalEnergies, Sonangol Sign HoA for Development of the Cameia and Golfinho fields","author":"","date":"May 3, 2023","format":false,"excerpt":"Ag\u00eancia Nacional de Petr\u00f3leo, G\u00e1s e Biocombust\u00edveis (ANPG), TotalEnergies EP Angola and Sonangol Pesquisa e Produ\u00e7\u00e3o S.A. signed today a heads of agreement related to the future development of the Cameia and Golfinho fields, located on Blocks 20 and 21 in the Kwanza basin. This heads of agreement is an\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/05\/Angola_Map_Detail.png?fit=1200%2C1200&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/05\/Angola_Map_Detail.png?fit=1200%2C1200&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/05\/Angola_Map_Detail.png?fit=1200%2C1200&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/05\/Angola_Map_Detail.png?fit=1200%2C1200&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2023\/05\/Angola_Map_Detail.png?fit=1200%2C1200&ssl=1&resize=1050%2C600 3x"},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12209","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=12209"}],"version-history":[{"count":1,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12209\/revisions"}],"predecessor-version":[{"id":12210,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12209\/revisions\/12210"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/11799"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=12209"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=12209"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=12209"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}