ANGOLA AND MAJOR OIL COMPANIES INK GAME-CHANGING ENERGY PARTNERSHIPS
Sonangol secures MIT collaboration while US giants expand operations under new investment framework
Angola is rapidly expanding its energy partnerships with major international players, as national oil company Sonangol signed landmark agreements with the Massachusetts Institute of Technology to advance cooperation in oil, gas, and critical minerals development. The agreements, known as the MIT Industrial Liaison Program and MIT Africa, were signed in the presence of Angola’s Minister of Mineral Resources, Petroleum and Gas Diamantino Azevedo.
The collaboration comes as Angola implements its revolutionary “Incremental Production” regime, which slashes taxes on mature offshore fields to attract renewed investment. The decree reduces Petroleum Production Tax to 15% and Oil Income Tax to 25% for new development in blocks over 25 years old or with 70% reserves depleted.
Major US oil companies are capitalizing on these favorable conditions. ExxonMobil has extended its license for Angola’s Block 17, one of the country’s longest-producing assets, while pursuing new discoveries in the offshore Namibe basin. The company is also drilling new wells under the Incremental Production Initiative.
Chevron is making significant strides in Angola’s natural gas sector, having started production at the Sanha Lean Gas Connection project in late 2024, which increases feedstock for Angola LNG exports. The company also holds stakes in the New Gas Consortium, operator of Angola’s first non-associated gas project scheduled to come online in late 2025.
The agreements with MIT will enable Sonangol to directly interact with research centers in key areas, accelerating innovation while facilitating Angola’s energy transition goals. Minister Azevedo highlighted that the program will support Angola’s objectives to increase oil production, diversify through innovative gas projects, and advance alternative energy sources including green hydrogen.
Source: tanzaniatimes.net