04 Apr 2025

Investments, Collaboration to Fuel Downstream Development in Angola

Enhancing Refining Capacity Angola is ramping up its refining capacity to reduce reliance on fuel imports and bolster energy security. Currently importing around $2 billion worth of refined petroleum annually, the country is set to reverse this dependency with major refinery upgrades and the development of three new facilities. The first phase of the Cabinda Refinery, with a 30,000 bpd capacity, is scheduled to start in July 2025, with the second phase doubling output to 60,000 bpd. The Lobito Refinery, Angola’s largest, is set for a 2027 launch with a capacity of 200,000 bpd, while the Soyo Refinery, led by the Quanten Consortium, will target 150,000 bpd. Additionally, the Luanda Refinery, upgraded in 2022, now operates at 120,000 bpd. These investments will drive Angola toward its goal of achieving 400,000 bpd+ in refining capacity.

Increasing Power Generation

Downstream investments are also driving Angola’s power sector by expanding access to affordable and reliable energy. The country is leveraging its natural gas resources to boost electricity generation, with key projects in Soyo set to advance electrification. The Soyo II Combined Cycle Power Plant, located next to the existing Soyo I facility, will add 750 MW to the grid, with operations slated to begin in 2025. These projects provide cost-effective power solutions for Angola’s population while highlighting the critical role downstream energy infrastructure plays in monetizing the country’s gas resources.

Facilitating Regional Distribution

With growing refining and power generation capabilities, Angola is strengthening its fuel distribution network to serve both domestic and regional markets. By 2027, Angola expects a 31% increase in LPG demand, and as such, is strengthening its distribution and storage infrastructure. State-owned gas company Sonagas is constructing a 60,300-ton storage facility as part of the Bande terminal to support demand. National oil company (NOC) Sonangol is also increasing the Cabinda plant’s gas filling capacity from 3,000 cylinders per day to 9,000 cylinders, thereby increasing gas availability by 28%. The country witnessed a 15% increase in LPG distribution in Q4 2024, with output reaching 140,185 metric tons. Marketing companies are also expanding their petroleum retail portfolio. TotalEnergies, for example, is developing a B2B and lubricant retail network of 50 service stations, while NOCl subsidiary Sonangol Distribuidora is expanding its network into the eastern provinces of Angola.

Angola Oil & Gas 2025: Supporting Growth

The Angola Oil & Gas (AOG) conference is set to catalyze investments across the country’s downstream sector. Returning for its sixth edition on September 3-4, 2025, the event has long-served as a strategic platform for downstream projects and companies to secure funding and technology. Over the years, several downstream deals have been signed including a fuel storage management agreement between Famar and Angobetumes in 2024; an agreement between Ambipar and Kini Energias for the installation of an industrial unit in 2023; and a contract for the Cabinda refinery between United Shine and Sonangol in 2019. Meanwhile, panel discussions and presentations centered on downstream development are fostering collaboration and setting the stage for future investments. In 2025, this momentum will continue as downstream stakeholders gather in Luanda to shape the future of Angola’s oil and gas value chain.

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; the National Oil, Gas and Biofuels Agency; the Petroleum Derivatives Regulatory Institute; national oil company Sonangol; and the African Energy Chamber; 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].

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