BP and Eni told City A.M. in an email that they have signed an agreement to form a new 50/50 independent company, Azule Energy through the combination of the two companies’ Angolan businesses.
The agreement follows a memorandum of understanding between the companies agreed in May 2021.
Azule Energy will be a new international energy company, independently managed, with more than 200,000 barrels equivalent a day of net oil and gas production and two billion barrels equivalent of net resources.
The companies said it is expected to be Angola’s largest producer, holding stakes in 16 licences, as well as participating in the Angola LNG joint venture. Azule Energy will also take over Eni’s stake in Solenova, a solar company jointly held with Sonangol.
“Angola has long been important for bp operations and this innovative new venture underscores and enables our continued commitment to the country.”Bernard Looney, BP’s chief executive
Azule Energy will have “a strong pipeline of new projects” starting up over the next few years, including the new Agogo and PAJ oil projects in Blocks 15/06 and 31 respectively, BP said.
It will also develop the New Gas Consortium (NGC), the first non-associated gas project in the country, which will support the energy needs of Angola’s growing economy, its decarbonization path and strengthen its role as a global LNG player.
The companies said BP and Eni share common goals for Azule Energy in achieving environmental and sustainability ambitions.
“BP and Eni believe combining their efforts with a long-term perspective will create more efficient operations and offer the potential for increased investment, job creation and growth in Angola,” they said.
“Azule Energy will continue to develop the full potential of the country’s upstream sector, while also positioning itself to capture new opportunities from the energy transition with the growing role of gas and renewables in its portfolio,” the statement read.