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THE FUTURE STARTS HERE ANGOLA's DEEPS the Stream

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THE FUTURE STARTS HERE ANGOLA's DEEPS the Stream ISSUE 4 WINTER 2004 universoSONANGOL ANGOLA | OIL | BUSINESS | CULTURE THETHE FUTUREFUTURE STARTSSTARTS HEREHERE ImplementingImplementing Sonangol’sSonangol’s corporatecorporate restructuringrestructuring programmeprogramme HARNESSINGHARNESSING ANGOLA’SANGOLA’S DEEPSDEEPS thethe world’sworld’s largestlargest FPSOFPSO comescomes onon streamstream LANDLAND OFOF PROMISEPROMISE thethe richesriches andand heritageheritage ofof HuilaHuila provinceprovince ISSUE 4 WINTER 2004 INSIDE SONANGOL S ISSUE 4 WINTER 2004 T Focus on the Future SONANGOL lenges to come as it continues to implement the most radical universoANGOLA | OIL | BUSINESS | CULTURE corporate restructuring programme in its history, and at the 8. The Future Starts here With world oil prices hitting same time comprehensively upgrade its internal distribution net- N Major corporate reconstruction at Sonangol is creating record levels, Angola’s offshore work to cover the remotest corners of the country. Just 50 years ago, the discovery of the Benfica field heralded E fields assume even greater rele- the framework that will enable the company to operate vance – which makes the the birth of Angola’s offshore oil industry. Ever since, the world’s T successfully and transparently in the global market. commissioning of the giant major oil companies – notably ChevronTexaco – have played Kizomba A FPSO especially timely. their part in its development. When production came on stream But oil is only one of Angola’s riches: diamonds, minerals N in August, Universo paid a visit to and agricultural produce also offer promising opportunities. And this floating city, to discover its for the visitor, there is also much on offer, such as the superb complexity and meet the workforce horizons of Huila province and Angola’s youthful music scene, O 12. Harnessing – many of whom are Angolan nationals. bursting with talent. Indeed, talented Angolans are coming home in a big way, For Universo too, this is a significant moment. As we com- C Angola’s Deeps returning from distant parts and from neighbouring countries plete our first year, we will continue to focus on the dedication Half a world away from “the whence they had fled during the hostilities. Some bring skills of Angolans who are rebuilding our country, and to record the city that never sleeps”, the and experience, while many others benefit from home-grown ground-breaking initiatives being pioneered offshore. training schemes, especially innovative ventures such as those So, as we look forward to the New Year, welcome to our massive heart of the newly created by Sonangol. world! commissioned FPSO at the Angola’s national oil company is also preparing for chal- ––The Editor Kizomba A oil field was instantly dubbed Broadway by its enthusiastic crew. INSIDE ANGOLA 46. Talent Waiting Sonangol in the Wings Rua 1° Congresso do MPLA, 34. Land of Promise 22. What’s NexT? Forced to leave during the N.º 8-16 Minerals, rich agricultural land, Caixa Postal 1316, Luanda Sonangol is developing its young professionals with a years of conflict, many young República de Angola raft of innovative courses, enabling them to identify breathtaking scenery and a timeless Tel: +244 2 391 182 Angolans who honed their Fax: +244 2 391 782 their training needs in relation to skills and career heritage hold the prospect of a future J O talents abroad are returning S Telex: 2089 SONANG AN E that the two million people of Huila S I aspirations. L [email protected] V A to help rebuild their country. P I province are eager to embrace. N T Sonangol USA (Sonusa) O 1177 Enclave Parkway Second Floor 18. Fuelling the Houston,TX 77077 40. Cool Rhythms USA Economy Tel: +1 281 920 7600 Driven by growing demand, Steeped in themes that played an inspirational role in the Fax: +1 281 920 7666 struggle for freedom, Angola’s contemporary music scene [email protected] Sonangol’s distribution sub- bursts with new talent that is creating infectious rhythms. Sonangol UK sidiary is adept at deploying its Merevale House resources and experience to Brompton Place London SW3 1QE provide round-the-clock deliver- United Kingdom ies throughout the country. Tel: +44 207 838 4600 Fax: +44 207 589 9454 Telex: 893212 SONANG 50. Homeward Bound Sonangol Asia Angolans return to their towns and 3 Temasek Avenue villages, from neighbouring countries. 31-04 Centennial Tower Singapore 039190 Tel: : +65 64 16 3583 Sonangol Department for Communication & Image –– Director: João Rosa Santos; Public & Press Relation Assistant: Cristina de Novaes Fax: +65 64 16 3582 28. Fifty Years On Fifty years after ChevronTexaco began exploration in This magazine is produced for Sonangol by Impact Media Global Ltd, 66 Chiltern Street, London W1U 4JT, UK, Tel: +44 20 7034 1300 ~ Fax: +44 20 7935 5777 Publisher: John Charles Gasser; Vice President: Sheila O’Callaghan; Editorial Director: Christophe Illemassene; Editor: Peter Moeller; Angola, it is still the country’s largest producer and is Art Director: Lisa Pampillonia; Advertising Design: Bernd Wojtczack; Circulation Manager: Tony Adkins; Contributors: Helen Campbell, Sue Branford; Nick Terdre heading for a thriving future, having recently renewed its Cover: Laurent Zylberman/Graphix Images Block 0 concession for a further 20 years. All rights reserved. No part of this work may be reproduced or transmitted in any form or by any means, electronic or mechanical without prior permission in writing from the publishers. SONANGOL [email protected] 4 SONANGOL UNIVERSO NEWS IN BRIEF Total in the Pink Malongo expansion terminal Vetco’s forest of trees Total is set to ramp up production from Angola’s deepwater Block The expansion and Cabgoc has also awarded a 17 from the first half of 2007 when it brings its Rosa oilfield modernisation of the US$125 million contract to Houston- onstream. The company received the green light from Sonangol in Malongo oil storage plant based oil services company Vetco August to launch the development of the field, located 135 kms in Cabinda is underway, Gray for the manufacture and installa- from the shore in water depths of between 1,300 and 1,500 following the award of a tion of subsea equipment for the metres. The development will be tied back to the Girassol floating contract by the Cabinda Lobito/Tomboco project on Block 14. production, storage and offloading (FPSO) facility and will require Gulf Oil Co (Cabgoc). The three-year deal calls for the sup- 25 subsea wells. Total says modifications to the facility, anchored South African construc- ply of 22 subsea horizontal trees, six 15 kms away, will mean that annual production will increase to tion firm Group Five and manifolds and the project’s fully-inte- 250,000 barrels per day. The Rosa development follows Jasmim, Chicago Bridge and Iron grated subsea and surface control which was tied back to the Girassol FPSO late in 2003. Rosa, one (CBI) Constructors have secured a US$30 million deal to systems. The deal also includes servic- of 15 discoveries on Block 17, was found in 1998. update the plant — operated by Cabgoc’s parent com- es, spares and options for additional pany ChevronTexaco — as part of the Malongo Greater trees and manifolds. Vetco’s facilities in Tukula Area Expansion project. Cabinda is the main Malongo and Luanda will contribute source of Angola’s oil revenues, and increased offshore drilling, such as on the Sarnia field, has led to higher to the project, alongside its sites in throughput at the Malongo terminal, located some 400 Scotland, England and Norway. This Roc’s on a roll in Cabinda Leiv Eriksson well away kms north of Luanda. Group Five and CBI started work on latest contract builds on Vetco’s long the expansion in June and expect to complete the con- involvement in West Africa’s oil busi- The Cabinda South block is short- tract by the end of August 2005, on which 250 Angolans ness, which includes supplying Cabgoc ly to be drilled following 32 years of and South Africans will be employed. and Sonangol for 35 years. inactivity. Australia’s Roc Oil expects to commence exploration of the onshore block in early 2005. Senior figures from the company met with Sonangol and other government offi- All aboard for Block 18 cials in mid-August and the BP Angola has selected the semi-submersible rig Sedco Express, Sydney-based company later said it owned and operated by Transocean Inc., to provide drilling services anticipates being in a position to trig- on the Greater Plutonio project. The Sedco Express will start opera- ger its production-sharing agreement tions in the second quarter of 2005 on a three year contract. The (PSA) on the block within two Ocean Rig’s Leiv Eiriksson deepwa- project to develop six fields – Galio, Cromio, Paladio, Plutonio, months, assuming the receipt of the ter drilling rig has secured a new Cobalto and Platina – will be the first development in Block 18. The necessary government approvals. In a contract — worth up to US$59 million fields are located in water depths of 1,300 to 1,600 metres. The separate but related move, the com- — offshore Angola. The Norwegian rig Sedco Express is currently working offshore Brazil and will undergo pany has also agreed to acquire an operator said in September that BP’s certain modifications in January 2005 in preparation for operations on additional 20 per cent interest in the Angola Business Unit had awarded it a Greater Plutonio. The rig operator said the Greater Plutonio contract PSA from block partner Force letter of intent for two wells, to be fol- was worth approximately US$181million. Petroleum, taking Roc’s stake up to 80 lowed by two optional wells, on Block per cent. Sonangol holds the remaining 31. The two firm wells are expected to 20 per cent interest.
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