• BW Energy eyes stake in Angola’s offshore Block 14/14K
• Move aligns with strategy to expand proven offshore assets
• Angola offers tax incentives to help prolong mature oil fields’ life

Norwegian oil company BW Energy aims to expand its operational footprint in Africa by acquiring a stake in the offshore Block 14/14K in Angola. The move follows its recent entry into the onshore PEL 73 exploration license in Namibia, where it holds a 20 percent interest.

BW Energy, which operates the Dussafu offshore license in Gabon with a 73.5 percent stake, announced on Friday, Sept. 26, that it is participating in a process to potentially acquire Azule Energy's non-operated interests in offshore Block 14/14K.

The block, which is operated by Chevron, hosts several long-established fields, including Kuito, Benguela-Belize–Lobito-Tomboco, and Tômbua-Lândana. The concession received a license extension through 2028 and a consolidated fiscal regime in 2020, underscoring its maturity.

Azule Energy, a 50-50 joint venture between Italy's Eni and Britain's BP, is one of Angola's largest producers. BW Energy's interest is consistent with its strategy of acquiring proven offshore assets. The company reported net 2P+2C reserves of 599 million barrels of oil equivalent at the start of 2025, spread across Gabon, Brazil, and Namibia. An entry into Angola would further diversify this portfolio and strengthen its regional presence.

The local oil industry has been incentivized by Decree 8/24, adopted in late 2024, which introduced tax incentives to prolong the life of mature blocks. Royalty and tax rates were reduced for additional production to stimulate foreign investment.

BW Energy did not disclose details regarding the total stake it is targeting. The company cautioned that "no binding agreement has been reached, and there can be no assurance that the process will result in a transaction," emphasizing the preliminary nature of the engagement.

Angolan production, which dropped to 998,757 barrels per day (bpd) in July, recovered to 1.03 million bpd in August, according to the National Agency of Petroleum and Gas (ANPG). Oil still accounts for more than 90 percent of the country's exports and about 30 percent of its GDP, based on official figures and World Bank data. The government has set a goal of stabilizing production at 1.1 million bpd through 2027.

Abdel-Latif Boureima