Jacket for Quiluma platform off the coast of Angola; Source: Saipem

Saipem unveils platform construction milestone for Angola’s ‘pioneering’ gas project (Gallery)

Business Developments & Projects

Italy’s engineering, drilling, and construction services giant Saipem has disclosed progress in bringing a jacket for an Angola-bound offshore platform to life. The platform, set to be used on a natural gas project in Africa, is perceived to be Angola’s first non-associated gas development.

Jacket for Quiluma platform off the coast of Angola; Source: Saipem

The New Gas Consortium (NGC) tasked Saipem in August 2022 with three contracts, one onshore and two offshore, in Angola. The NGC entails two wholly owned subsidiaries of Azule Energy, a 50/50 independent joint venture combining business interests of BP and Eni in Angola, alongside its partners: SonangolChevron, and TotalEnergies.

Thanks to those deals, the Italian giant secured the engineering, procurement, and construction (EPC) activities connected to the Quiluma and Maboqueiro (Q&M) field development project off the northwest coast of Angola. The final investment decision (FID) for the project came in July 2022.

Encompassing two offshore wellhead platforms, an onshore gas processing plant, and a connection to the Angola LNG plant for the marketing of condensates and gas via LNG cargoes, the project execution activities were slated to start in 2022. The first gas was originally planned for 2026, with production of 330 mmscf/day expected at a plateau (approximately 4 billion cubic meters/year).

Saipem’s scope of work at the Angolan gas project in the Lower Congo Basin, which will provide the Angola LNG plant with additional gas volumes for both international and domestic markets, covers engineering, procurement, and construction, including hook-up and commissioning of the Quiluma platform and the relevant onshore natural gas processing plant.

Based on the Italian player’s latest update, the jacket for this platform, seen as a crucial component in the NGC project, which was completed, loaded onto the barge, and sailed away from the Ambriz jetty, has now arrived at the site for installation.

“It stands out for being the first of its size, with an impressive weight of 2,336 tons and an outstanding length of 97.2 meters. Its construction, which was completed without Lost Time Injuries, involved multiple cranes for lifts of over 1,000 tons and specialised equipment to execute an innovative erection sequence, supported by a precise dimensional control survey,” highlighted Saipem.

The fabrication work was carried out by Petromar, a joint venture (JV) between Saipem and Sonangol. The Italian player claims that its Angolan JV achieved a new milestone in its capacity to execute complex projects in Angola with the platform jacket construction, which also led to significant benefits to the Ambriz community, employing over 2,000 personnel and strengthening the local supply chain.

The jacket completion comes shortly after Azule Energy signed commercial agreements to start gas production six months ahead of plan at the project, which it sees as “a pioneering development” in the Angolan gas industry, requiring an investment of $2.4 billion.

The National Agency for Petroleum, Gas and Biofuels (ANPG), Azule Energy, as the operator and its partners in the New Gas Consortium, entailing Cabinda Gulf Oil Company (CABGOC), Sonangol Exploração & Produção (Sonangol E&P), Azule Energy Exploration, and TotalEnergies (TTE) inked in November 2024 a risk service agreement and all auxiliary commercial agreements to expedite gas production in Angola.

According to Azule Energy, these agreements marked a significant achievement in the NGC project, reflecting the collaboration between the operator, its partners, and the Angolan government. The project is in line with the country’s strategic goal of increasing natural gas production and diversifying its energy portfolio.

Adriano Mongini, Azule’s CEO, commented: “We are proud to announce this major development, which reflects our strong commitment in enhancing the country’s position as a top gas producer. This project not only reinforces our position as a leader in energy production but also strengthens our partnership with the Angolan government in driving sustainable economic growth.”

Azule Energy, as the operator of the NGC, together with Azule Ltd, holds a 37.4% interest in the consortium. The remaining partners have spread the rest among themselves, with CABGOC getting 31%, Sonangol 19.8%, and TTE 11.8% of interest in the project.

The operator underlines that gas, which was previously captured as a by-product of oil extraction, is specifically targeted by the NGC project, which aims to develop and produce non-associated gas in the offshore gas fields to supply Angola LNG, enhancing the African nation’s gas export capability.

The non-associated gas of the project’s Phase 1 will come from the Quiluma and Maboqueiro shallow waters fields, with additional potential related to gas from Blocks 2, 3, and 15/14 areas. The first gas is now expected in the first half of next year, rather than the second half of 2026 as previously planned.

Gas, which is estimated to account for about 15% of Azule’s equity hydrocarbon production, is produced in association with liquids, separated from oil, and then channeled via pipeline to Angola LNG, where it gets liquefied and shipped overseas while also supporting domestic power demand.

“A bridge fuel for the energy transition and a major driver for Angola’s economic diversification, over the medium-term natural gas will grow in importance in Azule’s production mix,” underlined the Angolan energy producer, which is also the operator of the Agogo greenfield development approximately 180 kilometers offshore Angola, about 20 kilometers west of the deployed FPSO N’Goma.