• Priority units due July 2027, initial output gasoline and naphtha
• Sonangol invests $1.4 billion as project seeks $4.8 billion financing

The Lobito refinery project has reached a physical completion rate of about 23%, with production scheduled to begin in December 2027.

The information was included in the official report of a site visit conducted on Tuesday, Jan. 13, by President João Lourenço and published by the Ministry of Mineral Resources, Oil and Gas.

The refinery is expected to ramp up gradually, according to the document. Priority units, which authorities describe as the industrial heart of the project, are scheduled for completion in July 2027. These will be followed by a testing phase expected to last five months. At the end of this process, initial production is planned for December 2027, with a different output mix than what is expected at full capacity.

According to the ministry, this phase will notably include gasoline and naphtha, an intermediate petroleum product that will account for about 23% of volumes, as well as more limited quantities of gasoil.

Sonangol structures financing and execution

Official figures show the Lobito refinery project has created nearly 2,700 jobs to date, with about 80% filled by local workers. Data published in 2021 indicated that the construction phase could mobilize up to 8,000 jobs, highlighting the scale of the site.

The project relies on financial investments already committed. Sonangol, the concessionaire of national offshore and onshore oil reserves, said it has invested more than $1.4 billion of its own funds, including nearly $330 million dedicated to the acquisition of long-lead equipment. According to the report of the presidential visit, these expenditures correspond to an estimated financial progress of about 20% at this stage.

The financial structuring is part of a broader framework. In April 2025, according to information reported by international press, Sonangol estimated the total cost of the project at $6.6 billion. The state-owned company said at that time it was in discussions with several international financial institutions to fill a financing requirement evaluated at $4.8 billion.

In parallel with these financial steps, Sonangol organized the implementation of the project at the contractual level. The company launched an international tender in 2021 for the management and execution of the project, seeking to select a provider responsible for functions including engineering, procurement, and construction monitoring. Following this process, the construction management contract was awarded in 2024 to the American company KBR. The financial terms of the contract have not been made public.

Abdel-Latif Boureima