3 1 JUNE 20 o

JAPAN: LOGISTICS: KWANZA SUL: Faster freight flows s Treasure chest province Driving progress forward INSIDE: oil and gas news r e v i to the future n Opening the door the Opening www.universo-magazine.com U

SONANGOL UNIVERSO ISSUE 38 – JUNE 2013 Zhangyang

Universo is the international magazine of Sonangol Board Members Francisco de Lemos José Maria (President), Mateus de Brito, Anabela Fonseca, Sebastião Gaspar Martins, Fernando Roberto, Baptista Sumbe, Raquel Vunge

Sonangol Department for Communication & Image Director João Rosa Santos Corporate Communications Assistants Nadiejda Santos, Lúcio Santos, Sarissari Diniz, José Mota, Beatriz Silva, Paula Almeida, Sandra Teixeira, Marta Sousa, Hélder Sirgado, Kimesso Kissoka

Publisher: Sheila O’Callaghan Editor: John Kolodziejski Managing Editor: Mauro Perillo Art Director: Tony Hill Sub Editor: Ron Gribble Proofreading: Gail Nelson-Bonebrake Logistics come of age Production Manager: Matthew Alexander Production Assistant: Sebnem Brown Project Consultant: Nathalie MacCarthy assive investment, exciting growth projects with foreign partners and impressive advances in Angola’s industrial Group President: John Charles Gasser and agricultural industries are worth nothing unless the Universo is produced by Impact Media producers, manufacturers and farmers can get their goods Custom Publishing. The views expressed Mfrom point A to point B. in the publication are not necessarily those of Sonangol or the publishers. This is particularly true when it comes to moving imports and exports Reproduction in whole or in part without prior permission is prohibited. to and from the docks. The keys to success are joined-up thinking and an This magazine is distributed to a closed infrastructure which links the factories, farms and fisheries to the markets, circulation. To receive a free copy: [email protected] shops and seaports. Circulation: 17,000 Angola’s economic regeneration is reaching just such a stage in the area of logistics. More efficient ports and railways, better connected by improved road networks, are facilitating the flow of goods and services from industrial hubs and agribusinesses to towns and villages throughout the country. Davenport House 16 Pepper Street In this edition we examine how logistics systems developing in Luanda London E14 9RP are stimulating the greater interchange of economic activity throughout United Kingdom Angola’s potentially rich land. Tel + 44 20 7510 9595 Fax +44 20 7510 9596 The physical logistics network is now in place and the time has come [email protected] www.universo-magazine.com for it to fulfil its full potential. As a shining example, Universo throws the www.sonangol.co.ao spotlight on Kwanza Sul province, where some of the positive changes [email protected] mentioned above are rapidly coming to fruition. Cover: Eric Lafforgue John Kolodziejski Editor

2 SONANGOL UNIVERSO Contents 4 ANGOLA NEWS BRIEFING

Millenium goals hit target; oil reserves head upwards; new finance minister named; coastal conservation plan; Soyo subsea systems plant; who’s WHO SeanPavonePhoto

6 ANGOLA-JAPAN: SIGNS OF THE RISING SUN How Japan contributes to Angola’s industrialisation and technology 6 14 KWANZA SUL: TREASURE CHEST PROVINCE Brazuk

Kwanza Sul’s economy is driven by the offshore oil industry, but this rich land is also set to be a huge contributor to Angola’s food supply

24 CHANGING FACE OF MONEY

Angola introduces new coins and notes to improve its currency security  26 LUANDA: BLENDING THE OLD AND THE NEW 14

The capital’s architecture is an eclectic mix of styles; we look at the Brazuk reasons why

 34 SUPPLY CHAIN REACTION: FEEDING ANGOLA

Creating sophisticated logistics systems is the next step once basic transport infrastructure is in place. We look at how this impacts freight flows, especially food 26

40 SONANGOL NEWS BRIEFING

Sonangol No 2 in Africa; Pazflor prize; boost for Lobinave shipyard; Kizomba Satellites phase 2; new find in Block 15/06; Brazilian bid; pump prices held; Schlesser Sonangol triumph; Angola’s lead role in African refining 40 44 ANGOFLEX: REEL TIME GROWTH Skodonnell Angola’s burgeoning demand for umbilicals has led to expansion of its Lobito spool base

46 FAST LANE TO SUCCESS

Sonangol subsidiary Cardlane celebrates 20 years of placing Angolan students in further education. We see how this is done 46

JUNE 2013 3 Angola news briefing

Millennium goals reached

■ Angola reached its 2015 Millennium development goals well ahead of schedule in 2012. The country Nolte Lourens dramatically cut malnutrition cases by half between 1990 and last year. The welcome news was given by Mamadou Diallo of the United Nations Food and Agriculture Organisation (FAO). He said the Angolan government had been working hard, and as a result the country had made social, economic and environmental progress. “FAO is proud to accompany Angola in this battle and is convinced that this country will reach in a sustainable way all the Millennium development goals,” Diallo added.

Oil reserves head Coastal conservation plan upwards Pal Teravagimov ■ Angola’s proven and probable oil reserves stand at 12.67 billion barrels, according to Oil Minister José Maria Botelho de Vasconcelos. The Minister revealed the figure while speaking at the Seventh German-African Energy Forum held in Hamburg in April. He said this included the new exploration frontier of the pre-salt region where discoveries had been made in blocks 21 and 23. Botelho de Vasconcelos said that when Angola gained independence in November 1975, the country produced around 175,000 barrels per day (bpd) compared to over 1.7 million today. The Minister said ■ The Angolan government has lent its support to a $10 million project to further protect the production was expected to reach 1.5 million hectare Iona National Park, a conservation area shared with neighbouring Namibia. 2 million bpd in 2014. In a new agreement, the Ministry of Environment will work with the Global Environment The priority for 2013-17 was to Facility, the European Union and the United Nations Development Programme to monitor the keep a balance between reserves and size and dynamics of plants and animals and ward off the threats they face. Poaching is one production through tendering blocks, problem for wildlife. applying new oil exploration and Iona’s unique ecosystems include springbok, ostriches, oryx, zebras and some unique production technologies, and completing plants, including the Welwitchia mirabilis Angola’s national symbol. development projects such as the The project also aims to support the 15,000 people who live in the park, most of them Kizomba Satellites in Block 15. pastoral nomads known as the Muhimba.

4 SONANGOL UNIVERSO Angola news briefing

Soyo subsea New finance minister systems plant named ■ GE-GLS Oil & Gás Angola is investing $175 million over the next two years in an ■ President José Eduardo dos Santos undersea systems factory at Song-Etona in Soyo, Zaire province. appointed Armando Manuel as Minister The plant will be built at the Kwanda logistics base and will manufacture components of Finance in May. A presidential such as wellheads, valves, flow meters and instruments for the oil and gas industry in advisor, Manuel was formerly head of the region. Angola’s $5 billion sovereign wealth The enterprise will create 400 jobs during the construction phase and 180 when fund. He replaces Carlos Alberto Lopes. operations start up. Edgar Lopes, project manager for GE-GLS, said that construction would begin once licences were granted. Completion is scheduled for 2015. Photoatelier Who’s WHO ■ Angola was appointed vice-president at the 66th World Health Assembly of the World Health Organisation (WHO) in Geneva in May. Angola represents Africa at the WHO. The event was run under the slogan ‘Ensuring health in the context of implementation of global development goals’. The Angolan delegation was led by Health Minister José Van-Dúnem, who told the assembly that the health situation in Africa had significantly improved over the last decade. He pointed to a fall in infant mortality from 159 per 1,000 live births in the year 2000 to 109 in 2010. The minister stressed that the African region had made an effort and recorded improvements to maternal health, although still far from reaching the Millennium development goals.

FIGURED OUT Angola in numbers $350 million 2,500 tonnes investments in restructuring the port of Luanda lift power of Africa’s largest crane located in Angola $9 billion global investment in Angola’s Pazflor deep-sea project 4,500 containers $850 million on largest vessels now docking in Luanda investment in revamping Angola’s textile industry

JUNE 2013 5 ANGOLA-JAPAN: SIGNS OF THE RISING SUN Japan’s economic relations with Angola and Africa in general have historically been rather underplayed compared to those of other major business partners. Universo sheds some light on major Japanese projects about to make an impact on the Angolan economy

6 SONANGOL UNIVERSO SeanPavonePhoto INTERNATIONAL

JUNE 2013 7 INTERNATIONAL

he most obvious evidence of unsung Japanese success story in Angola demand for raw cotton could create up to Japan’s economic presence with makers such as Sony, Panasonic, 120,000 farm jobs. in Angola is on the streets. Toshiba, JVC and Sharp supplying many Angola’s textile industry has a long Japanese-made vehicles are so of Angola’s flat-screen TVs, computers and history and was once of great importance. Tnumerous and so common a sight that the personal stereo systems. It developed on a large scale in the 1930s, connection to the Far Eastern economy is based on ample local production of cotton, often overlooked. Industrial projects which reached 37,000 tonnes in 1974, and Luanda’s iconic blue-and-white One of Japan’s major strengths around exports peaked at just over 35,000 tonnes Toyota HiAce minibuses are at the heart the world is in developing sophisticated, in 1970. of most traffic jams in the car-besieged large-scale industrial projects. This too has The first of three state-of-the-art textile capital. Elsewhere, elegant top-of-the- largely gone unnoticed in Angola, but that plants, Luanda’s Textang, is scheduled market Toyota, Mitsubishi and Nissan is about to change. to restart cotton manufacturing by 4x4s add to the throng along with other Japan’s Marubeni Corporation is September 2013 with workforce training Japanese brands. currently completing the first of three beginning in June. The Luanda plant will Japanese car production and exports Angolan textile plants as part of an $850 initially produce cotton fabric for uniforms are among the highest in the world. Many million rebuilding and total re-equipment and shirts. of Luanda’s ubiquitous minibuses, the contract. Marubeni and the Japan Bank Marubeni has already installed mainstay of urban transportation, even for International Cooperation (JBIC) are spinning, weaving, knitting, and dyeing find their way into the country via second- providing the finance. hand markets. The impact of the project will be felt Africa is the second-fastest-growing not only at plant sites, where as many as Japanese car production market for Japanese cars, and as Angola 5,000 jobs will be created, but also in rural is the continent’s highest growing major areas where a cotton-farming revival is 2012 economy, it is not surprising that it is buying slowly under way. Malange and Kwanza more and more Japanese vehicles with their Sul are Angola’s traditional cotton- Manufacturer Units reputation for reliability and endurance. growing areas, and the needs of the Consumer electronics are also another refurbished factories and the rising global Toyota 3,492,913 Relative sizes of Angola and Japan Nissan 1,148,265 Mitsubishi 515,168 Mitsubishi Fuso 87,086 Mark Clydesdale BZO Mazda 845,550 Isuzu 241,247 Honda 1,029,313 Hino 152,839 Suzuki 1,061,863 Daihatsu 774,406 Subaru 570,173 UD Trucks 21,855 Others 2,115 Total 9,942,793 Source: Japanese Automobile Manufacturers Association (JAMA)

8 SONANGOL UNIVERSO INTERNATIONAL

machines as well as providing the rest of the factory’s infrastructure and other Japanese car exports 2012 utilities such as its own power source, a 12MW generator. Total (Units) % Chg. The other plants Marubeni is Asia 539,836 -7.4 revamping are Africa Textil at Benguela and Satec at Dondo. Benguela, employing up to Middle East 536,927 +24.0 900 workers, will start operations in 2014 and produce towels, sheets and blankets. Europe 821,492 -13.6 The final resurrected cotton mill at Dondo is to manufacture T-shirts and denim jeans. North America 1,813,660 +5.7 The Angolan government is keen to diversify its economy away from the oil (USA) (1,638,002) +6.8 and gas industries and create new jobs, develop the regions and reduce imports. Central America 151,435 -11.9 The Japanese project satisfies all these conditions and also holds out the promise South America 190,137 -2.7 of eventually exporting cotton goods to neighbouring markets and beyond. Africa 172,500 +12.6 Cotton is currently commanding high international prices thanks to strong Oceania 429,598 +3.9 demand from India and China. A well- watered Angola allows irrigated cotton Others 4,986 -11.7 plantations to produce as many as three crops a year. Total 4,660,571 +0.8 Sugar and biofuel Source: Japanese Automobile Manufacturers Association (JAMA) Marubeni is also developing a $650 million sugar and biofuel project in Angola’s southern Cunene province, having been awarded the contract in February 2012. It Nataliya Hora will produce 400,000 tonnes a year of sugar and 40 million litres a year of ethanol, used as fuel in most Brazilian-made cars and as an additive to petrol in other countries. Work is yet to begin as Marubeni is still choosing a site for the plant. Once it is completed, Angola will be able to meet most of the domestic demand for sugar in the country, which currently depends on imports. Gas and fertilisers A Japanese consortium consisting of Sumitomo, Mitsubishi Heavy Industries, Toyo Engineering and Sojitz has been pursuing a $1 billion Angolan fertiliser plant contract since 2009. The consortium signed an early work agreement covering engineering work, basic design, preparation of documents and contracts and site surveys in 2011. The proposed plant will take four years to

JUNE 2013 9 INTERNATIONAL

Mine clearance co-operation in Bengo Japanese exports to Angola 2012 Komatsu Ltd. Non-electric machinery 46% Transportation equipment 35% Manufactured goods 8% Electrical equipment 5% Chemical products 1% Raw materials 1% Others 4%

Angolan exports to Japan Brazuk Fuel 99.8% Komatsu Ltd.

Japan’s Marubeni at work at Textang A common sight in Angola's countryside: a Japanese pickup build and is adjacent to Angola’s liquefied container terminal and other facilities. The Angola’s need for an estimated five million natural gas (LNG) plant site at Soyo in work was financed by Japanese bank JBIC, tonnes of cement a year. northern Zaire province. which offered to support a $20 million Sojitz has a long-established relationship Planned daily production capacity second stage of improvements at the port in with Angola and has provided loans is 2,000 tonnes of ammonia and 1,750 May 2013. totalling approximately $1 billion during tonnes of urea. Urea is a base chemical for Namibe will be the export outlet the period of 1991-2003. It has also fertilisers. The plant is part of the Angolan for iron ore production from Angola’s proposed other projects in Angola such as government’s March 2009 plan to create interior in the near future and is already an an industrial park and steel businesses and 3,000 jobs at Soyo while stimulating farm important fishing port. to make the best use of its natural gas. output at the same time. In addition, the corporation has Japan is also understood to be very Sojitz success completed topside modules for BP Angola’s interested in importing LNG from Soyo to Sojitz, an international trading corporation $14 billion PSVM floating production, meet its energy needs, especially since part based in Tokyo, has had a key role in storage and offloading (FPSO) system. of its nuclear generating capacity has been providing plant and infrastructure for a The presence of Japanese majors offline since a tsunami in 2011. $600 million contract to build Angola’s in Angola goes beyond the projects Japan was active in supporting the largest cement works at Sumbe, Kwanza mentioned above. The conglomerates are rebuilding of Angola’s port infrastructure Sul. The Fábrica de Cimento do Kwanza Sul also establishing positions for themselves at Namibe in 2011. Here Japan’s TOA 250km south of Luanda will officially open in anticipation of orders connected to Corporation has spent $25 million on later this year and will produce 1.4 million Angola’s Sonaref refinery at Lobito, which a 240-metres-long refurbished quay, a tonnes a year and provide 25 per cent of is expected to be worth $8 billion.

10 SONANGOL UNIVERSO INTERNATIONAL S.R.Lee Photo Traveller

Mine clearance co-operation in Bengo

A common sight in Angola's countryside: a Japanese pickup

JUNE 2013 11 INTERNATIONAL

Help and advice demining equipment, including an Afonso Pedro Canga, the Minister Japan has been a significant aid donor to armoured mine-clearing vehicle using for Agriculture and Rural Development, Angola, providing $440 million and has Hitachi technology. The Japan Mine Action said Angola’s availability of water for given training to over 1,500 Angolans. Co- Service, an NGO run by former Japanese irrigation meant that farmers could grow operation began in 1998 in the form of soldiers in partnership with Angola's rice all year round. Until now rice yields emergency relief via Unicef and the UN Instituto Nacional de Desminagem, in Angola have been low because farmers and later came in the form of economic operates this vehicle. have grown it in dry-field conditions. aid in developing infrastructure and the Japan is also co-operating directly “The trials we are undertaking are rebuilding of the Port of Namibe. with Angola’s agricultural sector. The giving very exciting results, and everything Japan has also helped rebuild and provinces of Huambo and Bié hosted points to our ending rice imports in a few modernise the Viana School of Building the first field trials using Japanese rice- years,” enthused Minister Canga. “We’re along with primary schools elsewhere. It growing techniques in early 2013, thanks introducing techniques that raise output, has also contributed to health and safety to an agreement with Japan’s International and our farmers can produce rice without training in Angola and has refurbished Cooperation Agency (JICA). The agency depending on rain.” the Josina Machel Hospital and supported sponsored training of Angolan agronomists staff training. in Japan in 2012 and they are now applying Japan-Africa co-operation Other Japanese contributions have new techniques at home. Japan provides a unique contribution been in the reintegration into civil society JICA specialist Katsuyuki Ohara said to Africa in the form of the Tokyo of former soldiers and refugees, as well as the first planting experiments had been International Conference on African mine education and clearance, notably successful. Each hectare was planted with Development (TICAD). Since 1993 Japan in Bengo province, where it is benefiting 15 kilos of rice with the expectation of a has organised the TICAD forum on a five- 240,000 people directly. harvest of 4.5 tons. The growing cycle lasts yearly basis. Komatsu and Sumitomo have donated 150 days. TICAD is a forum Japan offers to

Japan-Angola trade Japan exports Angola exports to Angola US$ million to Japan US$ million

2003 52.6 83.7 2004 303.6 8.7 2005 118.1 18.2 2006 186.9 696.9 2007 208.1 190.4 2008 317.5 25.6 2009 178.4 24.1 2010 131.1 89.4 2011 142.3 26.9 2012 257.9 383.5

Source: Embassy of Japan, Luanda

12 SONANGOL UNIVERSO mashe Boykov

INTERNATIONAL

the international community to discuss Ministry of Telecommunications signed the development of Africa. Its aim is a memorandum of understanding on the to develop multilateral relations and subject in February 2011, and digital TV promote trade, private companies and tests in Luanda started in May 2011. co-operation while not exclusively Alternative systems for Angola to benefiting Japan. The fifth TICAD took choose from are ATSC, used mainly in the place in Yokohama June 1-3. United States, and DVB-T, employed in Europe, Australia and New Zealand. Cultural icons Japan is synonymous with high Japan is famous for its martial arts, also technology, and if Angola adopts its digital practised in Angola, and donated $100,000 TV standard, this will open up the Angolan to Angola’s Judo Federation for equipment and possibly neighbouring markets to in 2009. It has also funded judo and karate buying Japanese telecommunications demonstrations in Angola. and broadcasting systems. Botswana has Another icon associated with Japan is already adopted the ISDB-T system. the robot, and in 2012 Japan sponsored a Japan’s large projects in Angola demonstration of robots in Angola. have tended to take a long time to come to maturity given their characteristic Looking ahead complex nature and scale. As these plans Angola has shown an interest in using are realised, creating jobs and new the Nippo-Brazilian digital TV standard products for consumers, then Japan's (ISDB-T). Japan’s Ministry of Internal profile and prestige in Angola will Affairs and Communication and Angola’s rise accordingly. p PhotoStock10

JUNE 2013 13 PROVINCE KWANZA SUL: TREASURE CHEST PROVINCE

14 SONANGOL UNIVERSO Fertile Kwanza Sul is well placed to serve the burgeoning food needs of Luanda and western Angola. It also has a shoreline close to Angola’s pre-salt discoveries and thus provides an ideal base for the oil industry. Universo explores the natural riches of a region brimming with potential

JUNE 2013 15 Courtesy of Gauff Engineering. Photographer: Andreas Linke PROVINCE Africa's largest crane takes shape

Binga Falls Brazuk

Binga Falls on the Sumbe-Gabela highway

he vistas broaden as the excellent the oil industry is now setting the pace of workforce is Angolan. This policy has had coastal road south of Luanda the province’s economy. profound effects on the local economy and approaches the neighbouring Kwanza Sul is industrialising thanks the career prospects of the population of province of Kwanza Sul. The to the demands for offshore production Kwanza Sul, creating jobs and skilled Tgently rolling light-green hills of the structures, and Porto Amboim is at the workers for the oil industry. savannah terrain give the traveller an heart of this movement. This role is likely Paenal complements similar yards in uplifting sense of space and well-being. to increase in importance because of its Lobito and Soyo which also manufacture Kwanza Sul is where the foothills location in relation to the fast-expanding topside modules, suction anchor piles, leading to Angola’s well-watered central oil discoveries in the Kwanza Basin. buoys and subsea systems. highland plateau come closest to the The yard has a 490-metre-long deep- South Atlantic, evidenced by the fiercely Industrial hub: Paenal water quay protected by a breakwater and huge Binga waterfalls – some 50km from Porto Amboim Estaleiros Navais (Paenal) is currently assembling the largest crane the coast on the Sumbe-Gabela highway is a shipyard manufacturing equipment in Africa. The 4,500-tonne crane will be – where tonnes of water tumble down and modules for oil platforms, especially capable of lifting up to 2,500 tonnes and each second. floating production, storage and offloading will be used to place locally-made and Kwanza Sul’s geography and climate (FPSO) vessels. assembled modules directly on to FPSOs. made it a centre of high-quality Arabica Established in 2008, Paenal is a Paenal is currently concentrating coffee production in colonial times, joint venture between Sonangol, Dutch efforts on serving Total’s CLOV (Cravo, precious enough for the Portuguese company SBM Offshore and South Lírio, Orquídea and Violeta oil fields) and to build a railway from Porto Amboim Korea’s Daewoo Shipbuilding & Marine Eni’s N’Goma projects. The CLOV FPSO up the steep escarpment to tap this Engineering. Paenal has absorbed will moor at Porto Amboim in late 2013 rich beverage. investments of $300 million and employs for fitting out, the first such quayside While coffee production is in the 1,300 people. Thanks to Angola’s operation in Angola. Paenal also has two process of a slow revival and large-scale stringent requirements for local content wellhead platforms on its order books from arable agribusiness is quickly developing, and staffing, around 85 per cent of the Chevron’s Cabinda Gulf Oil Company.

16 SONANGOL UNIVERSO Brazuk

PROVINCE Africa's largest crane takes shape

Paenal employee – Daniel Maurício Raúl Brazuk

Daniel Maurício Raúl is a great example of how Angola’s policy of creating jobs for the local population works in practice. Raúl, a 28-year-old from Porto Amboim, was one of the first local recruits to start work at Paenal in 2007. He began as a scaffolder, moved on to become a machine operator and is now a first-class safety officer, one of his duties being to carefully guide visitors around the Paenal complex. Paenal provided the job opportunities and the ladder of success for Raúl; it has also laid the foundations for the modernisation and industrialisation of Kwanza Sul’s economy.

JUNE 2013 17 PROVINCE

Heerema Marine The leafy campus with state-of-the-art Contractors practical facilities has trained more than Paenal shares its complex with Sonangol’s 9,000 students since its creation in 1984. TOPA fuel depot built to serve central and INP’s 50 instructors train around southern Angola, and another offshore 10 per cent of the qualified oil sector equipment and service company, Heerema workforce in Angola. Courses include Marine Contractors. Heerema also has a geology, drilling and production, refining, very proactive attitude to training and local gas processing, oil and gas instrumentation employment. It currently employs nearly and mechanics. 89.7 per cent local personnel. Students can enter the institute Heerema’s country manager Patrícia as young as 15 years of age once they Lopes sees Porto Amboim as a new complete basic secondary schooling and industrial hub and points out that recent can opt for a wide range of technical or pre-salt discoveries are just 96km away, vocational training such as electronics, and Luanda, only three hours by road. instrumentation and computer science. Other advantages for companies Apart from Sonangol, eager employers setting up shop in Porto Amboim include of INP students are Esso, Total and BP a reduction in imports and fewer delays among others. Looking ahead, the institute caused by customs procedures. According is reinforcing its teaching staff to meet to Lopes, Porto Amboim has contributed to new developments related to pre-salt oil the knowledge base of Angola’s oil and gas deposits and Angola’s growing liquefied industry as well as to the country’s long- natural gas (LNG) capacity. term development. Marine training Educational opportunities Not far from INP a new oil-industry- The National Petroleum Institute’s new state-of-the-art library Just north of Sumbe, provincial capital related residential training centre is taking of Kwanza Sul, is the home to Angola’s shape. The official opening of the Angolan prestigious National Petroleum Institute Maritime Training Centre (AMTC) is in partnership with the City of Glasgow (INP), the country’s main educational scheduled by the end of 2013. College in the UK. It will provide training facility for the industry. AMTC will eventually supply skilled for maritime ratings and the first year of The verdant residential campus has crews for oil and LNG tankers. The school, academic training for deep-sea deck and everything needed for future generations of with capacity for 192 students a year, engineer officer cadets. In the future it oil industry professionals to learn their trade. is owned by Sonangol EP and operated will provide the entire academic cycle of training for deep-sea and restricted Heerema training certification qualifications. Fruitful farming Kwanza Sul’s tradition in coffee farming is showing some modest signs of growth, but this is far overshadowed by the large mechanised agribusinesses that are taking shape, especially those with irrigated areas. The administration of provincial governor Eusébio de Brito Teixeira is providing institutional support for one such project at Kirimbo near Gabela. The vast 180,000-hectare Zambia agribusiness project, which has technical assistance from Brazil’s University of Santa Cruz do Sul, includes homes, schools, irrigation channels and tourist facilities. China’s Convec is providing finance

18 SONANGOL UNIVERSO Brazuk Brazuk Brazuk

PROVINCE

Lighting the way Brazuk

The National Petroleum Institute’s Students on INP campus new state-of-the-art library

to build a power dam to supply electricity are being harvested this year. Nuviagro to the 22 industrial concerns planned and currently uses diesel generators to supply for the population at the project. One energy for its irrigation and cold storage The oil of the proposed factories will produce needs, but will be connected to much fruit concentrates and provide 50 jobs. cheaper power from the national grid in Another will produce biofertilizers and coming years. industry biological pesticides. Gangula, a $39 million farming project Elsewhere in Kwanza Sul, other giant on the outskirts of Sumbe, is an ambitious agribusiness concerns are thriving. An cotton plantation project supported by is now advanced example is Angolan-Portuguese Spanish and South Korean experts in seeds company Nuviagro at Quibala. and irrigation. The farm currently cultivates Nuviagro hopes to create 400 jobs corn, beans and cotton, but engineers setting and produce 72,000 tonnes of fruit and at the project say cotton output could vegetables a year to supply the needs produce three crops a year with high yields of Luanda and also associate company once the irrigation system is operative. the pace Refriango, the largest fruit-juice producer The system is presently awaiting a power in Angola. connection, which may take another two This $5 million project has cleared years to reach the site. of the and levelled a large area for irrigation and Kwanza Sul’s arable farming also built a reservoir and infrastructure for the includes other crops such as rice, wheat local population, including water supply, a and soya. Ranching is mainly undertaken province’s school and a clinic. at Sumbe, Conda, Quibala, Amboim, Cela Crops planned are papaya, melons, and Cassongue, where there are lush mangoes and grapes as well as lettuce, pastures and a favourable climate. Apart economy cabbage, broccoli, onions, garlic, carrots, from 127,000 head of cattle, goats, pigs and potatoes and tomatoes. The first crops poultry are also reared and eggs produced.

JUNE 2013 19 PROVINCE Corn crop at Gangula cotton project Brazuk

Waku Kungo silos and a flour mill. The association also Kwanza Sul Waku Kungo is home to Aldeia Nova, produces beans and soya. a huge farming project employing is on the cusp 600 workers, which combines large Cementing the future agribusiness with family farms, some The province is to open the $600 million of a owned by former soldiers. The project has Fábrica de Cimento do Kwanza Sul cement a speciality in dairy farming, producing works later this year. The Samsung- period of 35,000 litres of milk a day which is used financed project at Cuacra, just north of for cheese, yoghurt and butter. Sumbe, will produce 1.4 million tonnes a accelerating Aldeia Nova also currently produces year of cement and employ 2,000 people. 125,000 eggs a day and plans to raise this The site has sufficient limestone and development amount to 200,000. It will harvest 7,000 other minerals to supply the plant for 100 tonnes of corn and soya this year and years. It will provide a key ingredient become self-sufficient in chicken feed. to construction and infrastructure as its The surrounding area has a number of development in Kwanza Sul and large, efficiently-run, mechanised private neighbouring provinces such as Huambo, workforce’s farms. Sediac is an association of farmers which plans a 30,000-tonne capacity consisting of 40 farms operated by 250 cement warehouse. skills grow workers. Sediac produces around 15,000 Another construction material plant tonnes of cereals a year and has storage near Sumbe is the $20 million Super Gesso

20 SONANGOL UNIVERSO PROVINCE

Bridging the gaps in Kwanza Sul's infrastructure Courtesy of Gauff Engineering. Photographer: Andreas Linke

Sumbe street scene Emily Anderson

at Alto Chingo. Operating since 2009, this and Huambo also enhances its potential factory has an output of 13,000 tonnes of for tourism. Ecotourism is one possible Happy landings gypsum per year, which is mostly used for variant. There are delightful, spectacularly plaster but also as an input for cement and as large groups of hippopotamus to be seen a farm fertilizer. in the River Keve near Ebo, south west of Kwanza Sul has 178km of Quibala, and rare birds such as the Gabela unspoilt coast with rich fisheries Tourist potential Bush-shrike lure ornithologists to the that include prized oyster beds Kwanza Sul-born writer Luís Reis paints an Kumbira Forest Reserve near Conda. idyllic picture of his Cela childhood home Kwanza Sul’s other tourist attractions at the mouth of the River Keve. and the province’s marvellous landscapes, include rock tombs, spa waters, cave art, Small fishing boats operate the Binga Waterfalls and the dense forests of stalactites and stalagmites. Gabela, and his enthusiasm is contagious. The province is on the cusp of a period as far as 6km offshore, where Indeed, Kwanza Sul does have varied of accelerating, sustained economic catches have been rising landscapes that please the visitor’s eye development as its workforce becomes and the additional attractions of glorious increasingly sophisticated and skilled. This sharply. The province landed beaches (Kicombo, Chicucula, Carimba applies not only to the oil industry but also 13,968 tonnes of fish in 2012, and Porto Amboim as well as riparian and to the high-tech plantations now literally highland forest areas. bearing fruit. compared to 8,036 tonnes the The province’s easy accessibility Kwanza Sul is the province that has, or previous year. from the population centres of Luanda soon will have, it all. p

JUNE 2013 21 PROVINCE

Kwanza Sul

A characteristically colourful cemetery Mark Clydesdale BZO

Kwanza Sul has varied Hippos in the Keve near Ebo landscapes that please the visitor’s eye and the additional attractions of glorious beaches, riparian and highland forest areas

22 SONANGOL UNIVERSO Lourenço Amorim PROVINCE Lourenço Amorim

A characteristically colourful cemetery Peter Moeller Peter Moeller

Hippos in the Keve near Ebo Lourenço Amorim

JUNE 2013 23 Lourenço Amorim FINANCE

Angola is replacing kwanza notes and coins introduced 14 years ago with new versions aimed at reinforcing security and making more change available CHANGING FACE OF MONEY

ngola began introducing a set of attractive new characteristics such as water marks, a high-relief texture, a metal banknotes on March 22. The central bank, Banco strip and improved paper quality, raising the kwanza to match Nacional de Angola (BNA), said that the changeover was high international standards. The new notes were made in Russia. merely a replacement operation for the previous set of According to BNA, the new notes would guarantee greater notesA introduced in 1999 and that they should be accepted in all confidence and security in the Angolan currency. The old notes commercial and financial transactions. were subject to a greater risk of forgery. New notes for 50, 100, 200 and 500 kwanzas were the first to The new banknotes pay homage to the first two presidents of circulate and were followed by higher denominations of 1,000, independent Angola, and their backgrounds are illustrated with 2,000 and 5,000 kwanzas on May 31. images of the country’s rich culture and natural resources such The bank previously brought new coins into circulation on as waterfalls and dams. A BNA advertising campaign takes up this February 18. Their introduction is expected to facilitate the supply theme, hailing the new notes and coins as “strong like our nature”. of change and thus help reduce inflationary pressures. The coins BNA also said that the new notes were an asset symbolic of include one for 50 cents as well as one, five and ten kwanzas. national sovereignty and urged all users to help keep them in BNA said the new family of notes had different security good condition. p

24 SONANGOL UNIVERSO CHANGING FACE

The new notes would guarantee greater confidence and security in the Angolan currency

JUNE 2013 25 CULTURE

Luanda was one of the first cities to embrace modernist architecture featuring glass and steel high-rise buildings, yet it has also managed to treasure its colonial heritage. Universo examines the harmonic styles of the city’s buildings

By Lula Ahrens

26 SONANGOL UNIVERSO Brazuk LUANDA: BLENDING THE OLD AND THE NEW

JUNE 2013 27 CULTURE

Museum of Science and Technology Brazuk

“Luanda is the mouth

that swallows everything.” This is especially the case at weekends, when hundreds of families and youngsters flock there to have fun, enjoy the sunset – António Ole, Angolan artist and get a breath of fresh air. Angolan architect Maria João Teles Grilo advocates a symbiosis between uanda is not an easy treat like Hans Engels. “Indeed, I have never seen a Luanda’s different styles and eras. “Cities Prague, Cape Town or Paris. One city transform itself as quickly as Luanda. are the physical embodiment of the has to take a closer look to see The difference to Dubai is that beautiful, stories and history of society. Technically why some experts see this hilly intriguing Luanda will always remain a city speaking, one cannot catalogue buildings Lcapital with its peninsula and magnificent with a past. Angolans treasure and maintain as ‘old’ and ‘new,’” she told Universo. bay as nothing short of a magical, organic their historic buildings. The capital is “The point is to create dialogues piece of art. definitely changing for the better.” between what has been built in the city The city is like a great personality; The world’s third most populous throughout time. One has to try and do you either love or loathe it, but it always Portuguese-speaking city, after São this in harmony, in the same way that intrigues. This is largely thanks to its stark Paulo and Rio de Janeiro, is undergoing grandparents, parents and children contrasts between colonial, modernist a transformation so rapid that it is hard relate to each other and form the ‘human and futurist building styles, its intense 24- to keep track of its phases. The recent, tissue’. We should weave those same joys, hour buzz and its stunning, continuously large-scale renovation of Luanda Bay has traumas, heartbreaks and smiles that transforming skyline. perhaps had the greatest impact. With its support our lives into the physical fabric “Luanda’s contemporary structures well-kept lawns, palm trees and flower that surrounds us.” and the pace at which they are being built beds, walkways, playgrounds, and sports The harmonic process of incorporating are often compared to those of Dubai,” and performance areas, this is now the and blending the modern into existing said German architectural photographer main public space in town. historical buildings is in evidence at the

28 SONANGOL UNIVERSO CULTURE

The new fortress restaurant Brazuk

southern end of Luanda Bay, where the hill along with the fort, to become a magnet fortress of São Miguel overlooks its calm for visitors, providing an end-of-the-bay “Angolans waters and the business district beyond, attraction for walkers along the seafront. as well as the Atlantic Ocean on the other From the fort it is a 15-minute walk to treasure and side of the protective Ilha peninsula. the city’s peninsula, or Ilha. This tongue Built in 1576, the fortress served as of land, now dotted with state-of-the-art the colony's administrative centre, as luxury clubs, boasts a breathtaking view maintain a major outlet for slave transports to of the city’s skyline. And that is exactly Brazil, and finally, up until 1975, as the the spot where the impressive pace of their historic headquarters of the commander-in-chief Luanda’s building craze is best observed of the Portuguese Armed Forces in Angola. and appreciated, both during the day and buildings. Over the last three years the fort has at night. undergone a thorough renovation which includes the addition of new public areas World City The capital and a modern restaurant with panoramic Luanda’s urban development is largely views. The fort now houses the Museum of based on the master plan, which aims to is definitely the Armed Forces, re-opened to the public turn the capital into a modern city capable in April. of joining the ranks of the world’s major changing for Immediately below São Miguel, the metropolitan areas while preserving its shell of Luanda’s old soap factory is historical buildings. The government being restored, expanded and turned into body in charge is the Luanda Institute of the better” Angola’s first Museum of Science and Planning and Urban Management. – Hans Engels, Technology. A magnificent white building The institute is largely responsible for with a huge internal space, it is destined, the modernisation of the bayside avenue photographer

JUNE 2013 29 CULTURE Brazuk

and the rebuilding of the Ilha’s roadways and promenade, as well as other urban Hill fortress of São Miguel improvement projects. Despite the master plan, an often heard criticism of Luanda’s development is that it is chaotic. Photographer Engels has his own thoughts on this: “In Germany after the war, people also just built according to their pressing needs. It was an unplanned, organic growth of structures, but the end results were very positive. Brazil’s capital Brasília, on the other hand, was built according to a plan, in a very clean and well-organised manner. But Brasília is not a lively and attractive city.” Harmony and style Modernising a city and trying to create a marriage between different architectural eras is not an easy task; many of the world’s cities have demonstrated that it can easily go wrong. The daring beauty of most of Luanda’s contemporary high-rise buildings, however, is striking, and so is the way they fit into and add to their historical surroundings. Problems aside, it is hard to deny that modern-day Luanda is packed with style. The emblematic contrast between Luanda’s old and new is the picture postcard rose-coloured domed Angolan National Bank (BNA). The whole of the bayside bank’s background is now a screen of tall buildings, mostly added in the last decade. Angolan modernism was divided into two movements. The first emphasised Portuguese nationalist, colonialist style – for example, covered outdoor galleries and porches. Examples are the BNA by Vasco Regaleira and Mutu Ya Kevela high school by José da Costa e Silva. Rational functionalism influenced the more international and revolutionary movement. This style can be recognised by its garden terraces, open façades and longitudinal windows, among other features. Modernism 1950–1975 The 20th century brought Luanda arguably its most defining architectural style, modernism. This era began in 1950 with

Schoolchildren in the shadow of 30 SONANGOL UNIVERSO Queen Ginga's statue outside the fortress CULTURE

the building of Luanda’s market of Kinaxixi – the most prominent example of this Palácio Dona Ana Joaquina style which, sadly, has been demolished – and ended in 1975. Its key concept was Palácio Dona Ana Joaquina, a typical example of a 17th-century a break with the past and opposition to the Portuguese authoritarian principles Luanda mansion with the grandeur of a palace, is known as one guiding urban planning and design then. of the most valuable architectural treasures in Angola and, like the Architect Teles Grilo investigates the Palácio de Ferro (on page 32), has a fascinating history. development of megacities in developing The palace used to belong to the merchant and shipowner countries. Her favourite modernist buildings Dona Ana Joaquina dos Santos Silva (1788-1859), the great- in Luanda are the Ministry of Public Works granddaughter of an emancipated black slave. A member of the and the collective-housing building across the road from the psychiatric hospital by Luandan aristocracy, she was dubbed the ‘Rich Lady of Luanda’. Vieira da Costa, and the Angola National At the beginning of the 20th century, the palace was turned Radio building by Simões de Carvalho. Both into a college and business school until it was abandoned. When architects are Angolan. Angola gained independence, displaced rural families occupied Explaining what makes Luanda’s the palace until it was demolished in 2000. modernism so unique, she said: “Although But that was not the end of it. The demolition caused such built during the colonial era, from a historical perspective Angola’s modernist an outcry that it was replaced by a replica of the old building architecture is profoundly anti-regime the same year, at a cost of $8 million. President José Eduardo [to the former Portuguese government]. dos Santos inaugurated the replica in 2003. The new structure Modernism was not influenced by – larger than the old one, and with an extra floor – now houses Luanda’s law courts. Brazuk

JUNE 2013 31

CULTURE

Palácio de Ferro

Portugal, where hardly any modern architecture could then be found, but by Brazil and France. “In global terms, modernism was a social movement. It was a philosophical, political affirmation of social equality, democracy and dignified living space for the people. Before the world adopted modernism as its poster child, we were already practicing it here in Angola.” According to Teles Grilo, what is designed and built in the world today still contains elements of modernism: “It’s the great movement of the 20th century. Contemporary architecture has not yet formulated its own paradigms. What we basically added to the modernist movement was a technological advance.” Historical background In the period 1940–50, construction in Luanda was carried out according to the

AFP/Getty Images traditionalist, monumental and nationalist Palácio de Ferro Iron Palace) is a surprising historical gem in the middle style of the colonial metropolis. Examples are the Liceu Salvador Correia de Sá and of Luanda’s rapidly modernising city centre. It is generally believed to be Colégio de São José de Cluny, which Soares designed and built by – or by someone associated with – Gustave Eiffel, da Costa restored in 1997. who designed the Eiffel Tower in Paris and the internal structure of the The 1960s were a major turning point Statue of Liberty in New York. in Luanda’s architectural history. Oil As no official building records of Palácio de Ferro exist, the structure’s discoveries, rising fuel prices, international history is shrouded in mystery. It is believed to have been prefabricated pressure on Portugal as a colonising power and the intensification of Angola’s war of in the 1890s in France and meant to be transported to Madagascar by independence (1961-1974) led Portugal to ship. Instead, the building ended up on Angola’s ‘skeleton coast’ after increase investment in its overseas colonies. the vessel carrying it got caught up in the notorious Benguela currents. The Office of Colonial Urbanisation Portuguese colonial rulers are said to have claimed the ship along with – later renamed Office of Overseas all its contents, including the palace. Urbanisation – was set up in Lisbon to draw During Portuguese colonial rule, the building was used as an art up new guidelines for urban planning and public works, and it sent a huge workforce centre. Following Angola’s independence in 1974, it was neglected and to Angola to carry out its plans. then heavily damaged during the civil war. A new urban planning strategy and After 11 years of peace, the Iron Palace is now undergoing renovation modern, vanguard buildings reflected with the help of Brazilian construction companies. Many of the reclaimed the quest for an image of modernised iron balustrades and floor tiles were individually renovated in Rio de colonialism. That was how Portugal Janeiro. The Angolan Ministry of Culture has not yet decided whether attempted to show the world that it was committed to improving the living the Iron Palace will become a diamond museum or a restaurant. conditions of people in Angola.

32 SONANGOL UNIVERSO

Brazuk CULTURE

As a result, economic growth and development reached record heights. The capital grew into a wealthy, cosmopolitan city of 475,328 people in 1970, and Luanda was referred to as the ‘Paris of Africa’ in the that decade. There was, however, another side to the story. The war of independence also saw a massive exodus of Portuguese from Angola, especially Luanda, leaving public and private buildings abandoned. Angolans fleeing the countryside occupied Luanda’s vacant buildings with the government’s approval in a random, spontaneous fashion. Some anti-regime architects in Angola introduced social elements into their urban planning and contradicted the racial divide favoured by the colonial state. After Angolan independence, Luanda’s existing musseques (shanty towns) grew out of proportion, while urban development ground to a halt as a result of the civil war (1975-2002), to be reborn like never before after the war came to an end. Celebrating modernism In 2010, the Goethe Institute Angola and the Sindika Dokolo Foundation invited widely travelled photographer Hans Engels to exhibit his work on German Bauhaus architecture, which is similar to Luanda’s modernist architecture, at the Luanda Triennial. He also exhibited his photographs of modernist buildings in Luanda in collaboration with the Goethe Institute Angola and at the Lusíada University in Lisbon. “Nowhere in the world have I seen such a huge collection of modernist buildings as in Luanda,” he said. “In the future, I would love to exhibit a series of photographs on Luanda’s impressive contemporary architecture as well. I’m absolutely certain that the world would be interested in seeing the impressive, glamorous transformation Hill fortress of São Miguel of this southern African capital.” p

JUNE 2013 33 INDUSTRY SUPPLY CHAIN REACTION: FEEDING ANGOLA

Huge progress made in rebuilding Angola’s infrastructure has created efficient logistics systems to handle the country’s exports and imports. Universo looks at this promising development

34 SONANGOL UNIVERSO EvrenKalinbacak

JUNE 2013 35 INDUSTRY

ngola needs not only essential unloading and regularly breaks records in Two of the port’s terminal operators, food and goods for internal moving goods. Sociedade Gestora de Terminais (Sogester) consumption, but also a constant Improvements in port management, and Multiterminais, armed with 20- supply of building materials speedier customs clearance and public- year concessions, have invested in and forA the country’s massive and dynamic private partnerships in freight handling decongested the port by creating new reconstruction process. have meant waiting times for ships to spaces to store containers. These ‘second For the best part of 40 years, the nation dock have shrunk from 91 days in 2009 to line’ terminals or dry ports help clear the has largely depended on imports and fewer than two days now. Daily container immediate quayside area and make room overwhelmingly on a single port, Luanda, movements have rocketed from 150,000 in for new container-handling operations. to handle this traffic. Even now, Angola’s 2007 to a projected 600,000 in 2013. Sogester’s dry port at Panguila north largest city accounts for around 80 per cent The country is now reaching a tipping of Luanda has space for 24,000 containers, of the country’s imports. point whereby massive investment in while Multiterminais through its sister Luanda’s port until recently was port restructuring, roads and railways has company Multiparques runs a 26,685-unit Angola’s largest bottleneck in the movement created the conditions for the development dry port at Viana. of goods – mainly food, construction of integrated freight services. In March 2013, the regional train materials, machinery and equipment – to company Caminho de Ferro de Luanda (CFL) points across its huge territory, but that is How has this come about? began running a regular dedicated container rapidly becoming a thing of the past. According to Francisco Venâncio, chief train to Viana as part of a 500-container-a- The capital’s port has now broken executive at the Port of Luanda, the changes month contract with Multiterminais. the logjam of long delays in mooring and result from organisational, infrastructural This development is the first step for and managerial improvements aimed at container trains to use the full length of Containers load at Luanda docks accelerating cargo clearance from the port. the CFL line – allowing them to unload destined for Viana As part of a $350 million investment as far as Dondo (a major route centre for programme, the port has extensively central Angola) and Malange at the eastern renewed quays, resurfaced areas, and extremity of the CFL line 450km away. added new terminals and navigation-safety Roads adjacent to the port of Luanda systems. Recent new facilities include a suffer from notorious congestion and 40,000-tonne-capacity bulk grain silo and the rail link will ease pressure on them. a 4,000-tonne cold storage depot. A key However, a major northern-coast road change at Luanda has been the adoption improvement and drainage project is of 24-hour working. about to be completed that will largely Isaac Mateus zhangyang

36 SONANGOL UNIVERSO INDUSTRY

remedy this situation, benefiting dock 3 and 5, has invested $140 million in WAFMAX vessel named Maersk Cape traffic to Angola’s highway network and to improving freight flows, and the results Coast. These ships are specially designed Panguila’s dry port. have been felt very quickly. The company to operate in West African ports with Customs clearance at Luanda has initially moved about 150,000 containers a shallower docksides. improved dramatically. The port now offers year. This doubled to 300,000 in 2011 and The 249-metre-long vessel is capable of importers a one-stop shop that permits the 450,000 in 2012, and is expected to grow by carrying 4,500 containers and means that release of containers in around three hours, 25 per cent in 2013 to between 500,000 and freight unit costs will fall and may eventually compared to two days and visits to several 600,000 containers a year. benefit consumers. Luanda’s new WAFMAX different office locations previously. service connects with Asian ports on a Clients may take their cargo free of Larger ships weekly basis, offering a more competitive charge up to five days after unloading, but Another milestone in driving down logistics service and enabling better control over after that a fee is payable. After ten days costs in Angola was reached in November stocks and faster availability of cargo. without collection, the container is removed 2012 when the biggest container vessel ever Maersk, a partner of Sogester in to a secondary terminal, and it may be to berth at Luanda docked. terminal operations, accounts for a quarter auctioned off if it is left more than 60 days. The ship was owned by Maersk Line, of all container movements at Luanda and Sogester, founded in 2007 to unload, the largest dedicated container-handling 40 per cent of refrigerated containers. store and deliver containers from Terminals company in Angola. The giant was a new Cláudio Rosa, Maersk’s director-

Customs clearance at Luanda port container movements

Luanda has improved 2007 150,000 dramatically. The port 2011 300,000 2012 450,000 now offers importers a 2013 500,000-600,000* one-stop shop Source: Sogester (* projection)

JUNE 2013 37 INDUSTRY

The largest container ship to dock in Luanda unloads

general in Angola, said Angola’s imports Luanda. The fact that a nationwide network Maersk grew 18 percentage points in volume of 29 supermarkets exists at all is testimony in 2012 compared to 2011 and that he to Angola’s improving port and road expected a 10 per cent rise in 2013. transport systems, as around 60 per cent According to Rosa, foodstuffs are the of the food, including fresh produce, and leading containerised import with flour, other products on its shelves, are imported drinks and fresh food the most important through the Port of Luanda. products. After that come construction NRSA originally planned two materials led by cement. Portugal is distribution centres to supply the chain, Angola’s main supplier of foodstuffs while one in Luanda and another in Lobito, but China is the source of the large amounts of found that the one in Luanda was sufficient

plastic goods Angola imports. for now. Lobito may come on-stream in Rosa said Angola’s main exports in 2015 as the shop network grows.

Maersk containers grew 55 per cent in 2012 and Thanks to improved local tele- were mainly timber, scrap metal and communications, the Nosso Super fleet of ornamental stones destined for markets 60 heavyweight trucks are monitored by such as China, Portugal and India. He sees satellite to guarantee security, optimum reconstruction and insufficient domestic driving techniques and fuel economy. food production as driving Angola’s The fleet ensures the stores get deliveries imports, and this has led to the number of twice a week and is able to supply fresh containers used increasing by between 8 fruit and vegetables as well as frozen food. and 12 per cent per year. Greater efficiencies in logistics around Luanda mean that a major Nosso Super Supermarket network supermarket at Rocha is now receiving six Away from the port of Luanda, a glittering deliveries a week.

Maersk yardstick of the success of Angola’s Delivery times and fuel consumption, logistics can be found in the Nosso Super as well as maintenance and breakdown supermarket network managed by Nova costs, have dropped across Angola as roads Rede de Supermercados de Angola (NRSA) have improved, and fragile goods such as a part of Brazil’s Grupo Odebrecht. glassware and eggs can now arrive unbroken. Nosso Super is the only supermarket Nosso Super welcomes locally- chain present in all 18 of Angola’s provinces produced supplies by buying from local and is supplied by a central depot in farmers. These small-scale suppliers

Angolan produce now on Luanda's supermarket shelves Brazuk Brazuk

38 SONANGOL UNIVERSO INDUSTRY S.Oleg

Angola is meeting the challenges of its logistics but more improvements are needed

can take their fresh goods to a local the challenges of Angola’s logistics Similarly, domestic farm output, supermarket where Nosso Super can verify are being met, but more improvements although expanding markedly, is unlikely the quality and wash and pack them. are needed to bring down the high to satisfy demand in the short term. Large Angolan farming concerns also costs of transporting goods and cut The port of Luanda is coping with supply Nosso Super, as do fisheries, so consumer prices. the pressures currently placed on it, but there can be cuts in freight costs, as goods it has its spatial limitations, at the heart such as potatoes can be transported from Easing congestion of a congested metropolis. Over the next Huambo in central Angola to Luanda, Angola’s recent moves to boost domestic five years work is expected to begin on a or fish from Benguela and crabs from production of major imports, notably new, spacious greenfield port at Barra Namibe, giving a return cargo. cement and foodstuffs, will inevitably take do Dande, north of the city. Here, large Nosso Super is also championing the pressure off its ports and move centres of chunks of Luanda’s existing port traffic promotion of Angolan factory-produced supply away from congested Luanda. will find a new way into and out of Angola. goods in its stores as these companies While there has been heavy investment However, Angola in the medium term develop. It now supplies Angolan in new cement plants, Angola – with its is expected to realise its promise and re- bottled water, beer, soft drinks, cleaning massive reconstruction projects, especially establish its historical position as a net products, clothing, cooked meats and in dam-building and housing – is not exporter of foodstuffs. When that happens, dairy products. expected to be reach self-sufficiency until the required logistical system will be ready All of the above show clearly that 2017-18 in this basic product. and waiting to meet that demand. p

JUNE 2013 39 Sonangol news briefing

Sonangol No 2 in Africa ■ The March edition of Parisian magazine Jeune Afrique classified Brazuk Sonangol as the second-largest company in Africa for a second consecutive year. Sonangol’s high ranking was based on a study of 500 African and African-based companies. The leading position in the league table of important companies was Algeria’s Sonatrach, which is also an oil and gas company. Sonangol and Sonatrach presented very solid structures, enabling them also to rank among the 500 largest companies in the world. The two African heavyweights would be even higher up the world rankings if they were traded on stock markets, Jeune Afrique noted.

Kizomba Satellites Pump phase 2 prices ■ Sonangol and Esso Exploration Angola have awarded an engineering supply, construction and installation contract to a consortium consisting of Saipem SA, held Petromar (Angola) and Saipem (Portugal) ■ Sonangol has confirmed that it does Maritime Trade. not foresee any change in its fuel prices. The contract is for the second phase “At no time, and as a consequence of of the Kizomba oil well satellites project in the adjustments made in the structure of Angola’s offshore Block 15, situated 145km profit margins and charges, is it expected, from Soyo. Work includes engineering, at present or in the near future, that there procurement, fabrication and installation of will be any change in fuel prices,” said a pipelines with a total length of nearly 60km. Sonangol press statement. Offshore work will take place between Angola’s pump price for a litre of 2014 and 2015. Manufacturing activities petrol is currently fixed at 60 kwanzas will be undertaken in Angola at Soyo and ($0.60) and diesel at 40 kwanzas ($0.40). Ambriz docks. Brazuk

40 SONANGOL UNIVERSO Sonangol news briefing

New find in Block 15/06 Angola’s lead role in African refining AM70

■ Sonangol EP and ENI Angola have made another oil discovery in deep-sea Block 15/06. The well, Vandumbu-1ST, struck oil at a sea depth of 976 metres and a total depth of 3,480 metres. A study based on data from wells Vandumbu-1 and Vandumbu-1ST said that the site has the potential to produce 5,000 barrels a day. ENI was awarded the operation of Block 15/06 in 2006 ■ Angola marked the end of its second presidency mandate with Sonangol EP as concession holder. ENI has a 60% stake of the African Refiners Association (ARA) at an event in Cape in the block and is partnered with Sonangol P&P (15%), Total Town in March. (15%), Falcon Oil Holding Angola SA (5%) and Statoil Angola The ARA 2013 conference theme was ‘Investing in Block 15/06 (5%). Infastructure’ and was presided over by Sonangol EP administrator Anabela Fonseca. The need to invest efficiently and with security in products that may support economic growth in Africa was one of the main reasons for the choice of the conference subject. Administrator Fonseca reiterated Sonangol’s continued Brazilian support for ARA and appealed to other members to do the same, not only in relation to the association but also for its new Nigerian president, Anthony Ogbuigwe, and to ensure the bid continued success of ARA. ■ Sonangol’s Brazil subsidiary The Sonangol delegation to ARA 2013 also included Sonangol Guanambi qualified Sonaref president, João Ramos and executive commission to take part in the country’s representative Augusto Bravo, the director for new business at 11th auction of oil exploration Sonaci, João Silva, as well as specialists at the Luanda refinery blocks, according to Brazil’s and Sonangol EP. national oil agency ANP. The auction for 289 blocks was held on May 15 in Rio de Janeiro. The blocks are in 11 sedimentary basins in an area covering 155,800 sq km. Offshore blocks predominate Communication & Image Dept. and total 166, of which 94 are in deep water and 72 in shallow water. The other 123 are on land. Mark Schwettmann

JUNE 2013 41 Sonangol news briefing

■ The $9 billion Pazflor deep- sea development offshore Angola, using the world’s largest FPSO, received a Distinguished Pazflor prize

Total Achievement Award at this year’s Offshore Technology Conference in Houston. “It is well-deserved recognition for the teams that took part in the project in meeting the stringent safety, environmental, scheduling, budget and quality specifications,” said Yves- Louis Darricarrère, upstream president at Total. “They are all to be sincerely congratulated.” The prestigious award is presented annually to the Gaspar Martins, between Yves-Louis Darrivarrére (left) and Steve Balind, accepts the award company that has advanced on behalf of Sonangol and Total deepwater oil expertise and technology as part of a major Total project. Pazflor is based in Block 17, Total’s main asset in Angola which it operates with a 40% interest. Sonangol P&P has a 20% stake in the block and Sonangol EP is the concession holder. A major part of developing Pazflor was undertaken in Angola. Boost for Lobinave shipyard ■ Sonangol is to relaunch and capitalise its Lobinave industrial unit

CHEN WS at Lobito. The marine company is capable of building medium- sized ships and refurbishing vessels, said Kiala Gabriel, Secretary of State for Industry. He said there had been insufficient investment in technical and technological development in the sector. Sonangol will take over the management of Lobinave from a South Korean company and make investment on behalf of the state. “We are confident that the situation will improve because the company is of great importance to the market owing to its specialisation and location,” said Gabriel. Lobinave (formerly Estalnave) employs 350 workers. It is located in Lobito Bay between the port, the Secil cement factory and the new minerals terminal. The company may also work in support of the new Lobito refinery, which will be located nearby.

42 SONANGOL UNIVERSO Sonangol news briefing

Schlesser Sonangol triumph

■ Jean-Louis Schlesser claimed outright victory for Team Schlesser Sonangol in the four- day 2013 Sealine Cross-Country Rally in southern Qatar in late April. The rally was over a distance of 1,500km in totally desert terrain. The win puts Schlesser in top position in the FIA World Cup for Cross-Country Rallies. The former Formula 1 driver said he was very happy with the result of the “nice but difficult race” which had put the team in a good position. Schlesser ended the race with a lead of 31 minutes, 18 seconds. His overall time was 16 hours, 11 minutes, 33 seconds.

JUNE 2013 43 Sonangol partners Mark Hall ANGOFLEX: REEL TIME GROWTH Angoflex has doubled production capacity at its Lobito spool base, with dramatically positive effects on its local workforce

44 SONANGOL UNIVERSO Sonangol partners

mbilicals manufacturer a year but with the modernisation we can Angoflex, a partnership double that,” Nunes explained. What is an between Sonangol and “Our focus now is to continue France’s Technip, has improving our internal processes and to Ucompleted a $40 million investment in develop our team to make us even more umbilical? expanding its operations at Lobito in competitive.” Benguela province. The growth of Angoflex operations The name umbilical suggests The project comprises an upgraded has also had beneficial effects on local the connection between a child Helix umbilical production machine employment. Fábrica de Umbilicais da and its mother. In the oil and and two additional carousels, the huge Angoflex, the base’s full name, increased gas industry it describes a long spools that hold the rolled-up cables. its workforce by 55 in 2012 to 235. This is cable connecting an oil platform The equipment was installed in the third a far cry from the 30 on the payroll back in to the wellhead on the sea floor. quarter of 2012 and started operations at 2003 when the factory opened. Umbilicals are composed the end of the year. Today, 92 per cent of Angoflex’s Angoflex’s new investment also Lobito base personnel are Angolan, which of bundles of tubes, electric includes a kilometre-long loading bay reinforces the process of developing local cables and optical fibres which where umbilicals are unreeled from the content. Back in 2003, just half of the remotely control and operate carousels and wound onto huge reels on employees were Angolans. subsea equipment, often at board ships. The vessels then deliver the According to Nunes, Angoflex is great depths. umbilicals to the oil and gas production currently focusing its attention on Angoflex umbilicals for areas off Angola’s coast. meeting the demand from Angola’s Angolan and West African deep Carlos Nunes, plant manager at oilfields although in the past it has waters have a steel casing to the Angoflex fabrication yard, said the exported to other African countries. “It’s withstand the low temperatures investment was made to meet growing worth pointing out that the Lobito factory and pressures, whereas demand from deepwater oil and gas is the only umbilicals producer in the umbilicals used elsewhere, such projects that require longer umbilicals whole of Africa,” he said. as in the shallower North Sea, without any joints. Since 2004, the Lobito facility has Over two-thirds of Angola’s oil is supplied steel tube umbilicals to projects use engineering plastics. now being pumped from below seawater including Dalia, Greater Plutónio, Block Angoflex’s Helix machine depths of 500 metres. Angoflex parent 31, Tômbua-Lândana, Lobito Tomboco, merges the component tubes company Technip has already proved Gimboa, Mondo, Batuque, Kissanje East, and so packs the cables into the that it is capable of providing umbilicals AB 15, Kizomba and Girri. umbilical cable sleeve. for use at great depths. It supplied Angoflex is currently working on Shell’s Perdido development in the Gulf providing 75km of umbilicals for Total’s of Mexico at a water depth of nearly multifield CLOV development in Block 3,000 metres. 17 where there will be 34 wells. These Ingvar Tjostheim “The types of carousels installed at are located about 150km off the Angolan Lobito are the most modern in the world coast in water depths of 1,400 metres. and the project is helping Angoflex to Looking ahead, Nunes said that, increase its production capacity. Just to give depending on demand, there is space at you an idea, the factory used to have the Lobito for the installation of at least one capacity to produce 100km of umbilicals more carousel. p

JUNE 2013 45 Sonangol education FAST LANE TO SUCCESS

46 SONANGOL UNIVERSO Sonangol education Skodonnell SUCCESS

London-based Cardlane Ltd has been channelling Angolan students towards university courses abroad, mainly in the UK, since 1993. In Cardlane’s 20th anniversary year, Universo looks at how this Sonangol affiliate performs this role

JUNE 2013 47 Sonangol education

Mauro Ceita - medicine student, new job, the break-up of Cardlane will manage 153 in the UK, Pavol Jozef Safarik University, Slovakia a relationship and moving house but will for the first time have the added are three of the most stressful responsibility for placing a 65-strong group situations we face in life, we are on courses in Norway. toldA by psychologists. The flow of students through Cardlane’s So the combination of moving thousands hands is not constant. The company of miles away from home, taking on a new routinely manages dozens of students study course and working in a foreign each year but Sonangol recruitment drives language is clearly a tough assignment for – usually every five or six years – may anyone, especially the young. more than double that number as present Cardlane’s role over the past two numbers demonstrate. decades has been to help young Angolans Competition is stiff for Sonangol’s meet this challenge and to realise their overseas scholarships. In the 2012-13 academic potential. intake some 5,000 candidates competed “We don’t sell anything”, says for a total of 400 placements abroad Verônica Martire, Cardlane’s Brazilian- whereas in 2005 a massive 7,000 young born office manager. “We’re a Angolans took the tough entrance not-for-profit organisation. We’re the examinations. Between these big agency for supporting students, the recruitment guides Cardlane handles educational branch of Sonangol. We look smaller numbers each year. after students.” Sonangol’s expansion and thirst for new Cardlane is a Sonangol subsidiary professionals indicate that the demands on dedicated to placing Angolan students Cardlane’s services will inevitably grow. It in educational institutions and currently is not alone in its task; sister organisations oversees the academic careers of about 100 play a similar role in Portugal, the United language courses near their likely university students a year. It also ensures that they States and Brazil. choice where there are specialties such have all the necessary help and support as Petroleum Engineering, Geology and to complete their courses. The United Routes to rewards Business Studies. Kingdom is the students’ main destination, The first step in pursuing a course in The agency also keeps a close eye but other countries are also options. the UK is to learn the English language. on university rankings to make sure the The company is currently allocating Some students go directly into residential students get places on the most respected courses for 218 students in Sonangol’s language schools as they may be as young courses in their field. However, student latest intake of candidates. Of these, as 16. Cardlane tries to place students on acceptance depends on the results of their exams and the level of English attained, with the most sought after universities

Resefe dos Santos, postgraduate at University of Essex (MSc finance and investment) naturally requiring better results. Cardlane prefers to place students at colleges away from London because the higher everyday costs of living and accommodation in the capital would erode the students’ monthly allowance. There are also fewer social distractions away from the metropolis. Office manager Martire says Cardlane has developed tight relationships with some universities such as Aberdeen, Heriot-Watt and Robert Gordon in Scotland, as well as Leeds, Manchester, Salford, Essex, Newcastle and Ruskin. These universities often prepare special introductory programmes for the benefit of Angolan students. In the past, an important part of

48 SONANGOL UNIVERSO Sonangol education

All images by Cardlane

Cardlane’s work was to look after as many as 300 Angolan Ministry of Petroleum (MINPET) scholarship students in the UK, the US and other European countries. It was a partnership between Sonangol/ Cardlane and the oil ministry. MINPET, however, has since developed its own support services for its students. Happy anniversary Cardlane completed 20 years of activities in February 2013, but there were people dedicated to placing young Angolans on courses and giving support and advice for a few years previous to its establishment. Among them was José Carlos Paiva, the Dinamene Bernardo, Ondina Martins, Juber Lulendo graduates at University of Essex first director of Cardlane, who pioneered (they did courses related to finance, accounts, business) and supported the company all the time he was in Sonangol. The work of establishing Cardlane started in Sonangol Ltd when he Carvalho was another important pioneer of Manchester and nearby Salford. was a director. the present Cardlane set-up. Dr Carvalho The first students were mostly destined Maria Ermelinda Kazmi oversaw the was already resident in London in 1991 for management and engineering courses, foundation of Cardlane. She was its first and was tasked with finding appropriate but later the range widened to include manager and the person who structured medical treatment for Angolans in the UK. more science, geology and other specialties the company in its early days. Cardlane When Sonangol needed help in finding related to the oil and gas industry. was founded out of the need to look after courses for its students, they turned to her The number of colleges receiving students sent overseas by Sonangol more for help. She was instrumental in placing Angolan students also increased to cover efficiently as numbers started to grow. the first batch of around 30 Sonangol- the whole of the UK from the north of Medical doctor Maria Guilhermina sponsored students to the universities of Scotland to the south coast of England.

JUNE 2013 49 Sonangol education

Dr Carvalho spent 11 years in this and Oxford University’s prestigious Cardlane staff job and oversaw the foundation of pharmacology department. Cardlane Ltd as a company dedicated “My experience with Cardlane Kwanza Norte-born Teresa to this task. was excellent even though they Neves has been Cardlane’s “At first one was like Mother weren’t very used to dealing with director since 2011, having Courage,” she told Universo. (Indeed, doctorate students. They were been with Sonangol her students called her that). “I had always very understanding,” he told for 14 years. A former to deal with lots of young people far Universo. Cruz already has a master’s scholarship student herself, from home with many problems to degree in Medical Biochemistry from she has a masters in HR sort out, such as the language and Lisbon University. management. accommodation, and deciding on which families to place them with. It Future outlook was a very gratifying experience and Cardlane is currently in the process Brazil’s Verônica Martire very positive for me.” of moving to new offices at Indescon joined Cardlane in 2005, Today, some of the students the Court on Canary Wharf in East first as an administrative company assisted in the early 1990s London from its existing office at assistant and now as have achieved important positions: Grosvenor Gardens in the West End. office manager. With José de Lima Massano, the current It is gearing up for the expected large more than 20 years’ governor of Angola’s national bank growth in Sonangol recruitment over experience in education (BNA), and Sandra Júlio, Sonangol the next five years. and administration, Martire, Ltd’s president and chief executive, In addition to relocating to new a history post-graduate, is were among the first to pass through offices Cardlane is building its own currently pursuing an MBA. the system that evolved into Cardlane. website which will help reinforce its Dircilene Faria (Marcia), Other former Cardlane students institutional image and credibility born in Benguela, has include Baltazar Miguel, former with local authorities. It will also worked for the last seven director of the Luanda Refinery, provide information and news for years in the administration now director of ISPTEC, Sonangol´s students as well as publicise their department. She has lived university; Manuela Coelho, human successes. The future looks bright in the UK for more than resources director of the Ministry of for both Cardlane’s and Sonangol’s two decades. She has a Oil (she has 70,000 oil workers under ambitious expansion plans.p BA (Hons) in international her responsibility); Pedro Fonseca,

business with Spanish and former Vice-Minister of Planning, and previously worked for HSBC. Leila Lopes, former Miss Universe.

Administrative assistant Academic high-flyers Conceição João hails from Some other former Cardlane students Malange. A business studies have made extraordinary progress in with HR management academia abroad. Marcílio Santos graduate, she arrived in the is studying (2011-14) for a PhD in UK in 1995 and joined the quantum physics and is president of Cardlane team in 2010. the Sonangol Students Association. Santos aims to use quantum physics to design new types of precision sensors for geophysics, oil Cardlane’s in-house and gas non-intrusive explorations accountant, Indian-born and pipeline inspections. He received Kiran Rajgor, joined the his M.Eng in mechanical control at company in 2009. He has Aberdeen University (2006-11) Mother Courage: Maria 17-years’ experience in his Another PhD student, this time Guilhermina Carvalho with Evaristo field and was previously in neuroscience, is Armando Cruz, Pascoal engineering graduate finance manager at a now studying in Portugal under at University of Southampton and pharmacy company. the joint auspices of the Faculty Heraclito Silva, IT post graduate at of Medicine at Lisbon University University of Southampton

50 SONANGOL UNIVERSO Sonangol education

How Cardlane works

Cardlane’s Brazilian-born office manager Verônica are offering Foundation programmes nowadays. Martire explains how students are processed. Depending on the age of the student and academic “Sonangol sends us the name, copies of documents background, we prefer them to take their Foundation and an indication of what subjects the new student is year in a smaller college where teaching will be done going to take as an undergraduate; courses such as in a closer environment. business, economics and chemical engineering. We “During Foundation they apply for universities then contact an English school and start the booking via UCAS [the central clearing house for student process going. applications]. At the end of the course, their results, “We have been working with around 30 English together with their English language skills, as well as schools all over the country for several years. We choose the grades they achieved in Angola, will determine the school for teaching quality but also for being closer whether they are accepted at whichever university to a centre where the student could proceed to a good they have applied to. The better the results, the more university in his or her field of study. For example, if he prestigious university they can go to. or she is coming for electronics engineering, it is likely “We advise them all the way through as we keep we would send them to Newcastle or Southampton up to date with the national ranking, the courses they where the universities excel in electronics. intend to do, and the immigration and visa changes. “The school processes the booking, sends us a But it is down to the hard work of the student to get certificate for the visa application, and then we forward to the university they prefer. There is no agreement all these details to Angola. The student will apply for between Sonangol and Cardlane with any university. the visa and once it is granted, he or she can come and “Exceptional students are often offered a masters start their studies. or PhD programme during their time at the university, “After acquiring a good knowledge of English, they and then it is down to Sonangol EP to decide if they proceed to a Foundation course. They can either go can pursue the post-graduate course or not.” to a college or university because some universities Angolan student course completion rates are very high, Martire told Universo. “You can’t fail more Adilson dos Santos, graduate at East China University of Science and Technology, Shanghai (oil and gas transportation storage) than once. Very few drop out for illness or personal problems. If they fail to pass tests, then they will have problems with their visas.”

Marcilio dos Santos , PhD student at University of Aberdeen, quantum physics

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