Angola to sign exclusive oil exploration agreement with Shell, government says

Shell will spend ~$1 billion for seismic surveys and drilling on new oil blocks in Angola, as the country seeks to raise production that has declined over the years, the chairman of the oil regulator said Monday, according to Bloomberg.

Shell and Angola’s National Agency for Oil, Gas and Biofuels signed an exclusive agreement for exploration rights covering offshore blocks 19, 34 and 35, along with 14 additional blocks in ultra-deepwater areas.

Angola’s priority remains keeping crude production above 1 million bbl/day through marginal field development and incremental output projects, ANPG’s Paulino Jeronimo said, according to the report.

ANPG also signed another deal with Shell alongside Chevron and Sonangol in September for block 33 in the Lower Congo basin off the coast of Angola, marking its return to the country after a two-decade absence.