Indonesia’s oil production has been in a steady decline – from 996,000 barrels per day (bpd) in 2006 to 605,000 bpd in 2023 – owing to natural declines in mature oilfields. At the same time, population growth and heightened economic activity has led to a rise in fuel consumption, resulting in an increased dependence on imported fuels. The share of crude imports is set to increase from 41% to 82% by 2030 while the share of imported fuels will increase from 24% to 43%. Currently, Indonesia imports the majority of its crude from Nigeria ($3.66 billion); Saudi Arabia ($2.7 billion); and Angola ($800 million). As demand increases, Angola – with its focus on boosting production and exports - emerges as a strategic trade partner for Indonesia.  

Upcoming Projects Support Export Growth

Angola is well-positioned to increase crude exports, given the country’s commitment to maintaining output at 1.1 million bpd until 2027. A strong pipeline of offshore projects is set to come online in the coming years, supporting production growth and export capacity. These include the Kaminho deepwater project in Block 20/11, which achieved FID in May 2024. Developed by energy major TotalEnergies, the project comprises the Cameia and Golfinho fields and is the first large deepwater development in the Kwanza basin. The project comprises an FPSO with a capacity of 70,000 bpd and will start production by 2028. TotalEnergies is also developing the Begonia conventional field development in Block 17/06 and expanding the CLOV Phase 2 project in Block 17. Both projects will add 30,000 bpd to existing crude output, with production set to start in late-2024.

Additionally, international energy company Azule Energy expects production to start at the Agogo Integrated West Hub Development in Block 15/06 in 2026. The project will produce hydrocarbons from the existing Agogo oilfield and the newly developed Ndungu field. The addition of the Agogo FPSO – currently under construction - will add 120,000 bpd to the development, creating a new production hub in the block.

Investment in Exploration to Boost Crude Output

A focus on attracting investment in exploration has seen a slate of new players enter the Angolan upstream market, with new field development and incremental production efforts set to bolster crude output even further. To support regular investment in exploration, the country launched a six-year licensing round in 2019, with the most recent tender – offering 12 blocks in the Lower Congo and Kwanza basins – securing 53 bids. The country’s concessionaire the National Oil, Gas and Biofuels Agency (ANPG) is currently negotiating terms for the round while preparing to launch its next tender – offering ten blocks in the Kwanza and Benguela basins – in Q1, 2025. In tandem with incremental drilling at existing fields – aimed at maximizing reserves at mature assets – Angola is well on track to increase national crude output.

Angola’s premier industry event Angola Oil & Gas (AOG) – taking place October 2-3 in Luanda – will delve into enhanced trade opportunities between the country and its Asian counterparts. In line with national production targets, the event connects investors to block opportunities in Angola while offering a platform for strengthen cooperation between Angola and global crude importers. For Indonesia, AOG 2024 is a strategic opportunity to establish long-term trade ties with one of Africa’s biggest producers.

AOG is the largest oil and gas event in Angola. Taking place with the full support of the Ministry of Mineral Resources, Oil and Gas; national oil company Sonangol; the National Oil, Gas and Biofuels Agency; the African Energy Chamber; and the Petroleum Derivatives Regulatory Institute, the event is a platform to sign deals and advance Angola’s oil and gas industry. To sponsor or participate as a delegate, please contact [email protected].