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ExxonMobil Angola Project

ExxonMobil subsidiary Esso Exploration Angola has started construction

ExxonMobil Angola Project

ExxonMobil subsidiary Esso Exploration Angola has started construction of the US$3 billion Kizomba B project in Angola's deepwater Block 15. The development is expected to recover nearly 1 billion bbl of oil at a target production rate of 250,000 b/d.
Kizomba B will develop the Kissanje and Dikanza discoveries in water depths of 3,300-3,400 ft. The project will include the combination of a surface wellhead platform and subsea wells tied back to an FPSO that will have 2.2 million-bbl storage capacity. First oil is expected by early 2006.
Commenting on the announcement, Morris Foster, president, ExxonMobil Development Company, said, "The start of construction activities for Kizomba B represents another important milestone for Esso in West Africa. This and other developments being planned for Block 15 will provide significant additions to our liquids production in the coming years and highlight the growing importance of Angola to global energy supplies. As an industry leader in deepwater development, ExxonMobil will use its worldwide experience and leading-edge technological capabilities to develop Kizomba in a safe, environmentally sound and cost-effective manner."
Esso has awarded facilities construction and fabrication contracts valued at approximately $2 billion for key onshore and offshore components of Kizomba B.
The project will contribute substantial direct and indirect benefits to the Angolan economy through local project spending and employment.
An estimated 400 Esso operational personnel will be required for the Kizomba development projects, the majority of whom are expected to be Angolan nationals.
A significant training program is underway to develop and prepare the national workforce to support the new operations. Local jobs also will be created in the Angolan port cities of Soyo and Lobito to support construction and fabrication contracts. Furthermore, Esso's Kizomba development activities will create significant employment opportunities for Angolan workers in multiple sectors of the economy, including transportation, logistics, maintenance, and food services.
Esso holds interests in seven offshore deepwater blocks offshore Angola covering 8.4 million gross acres. In 2001, the company started construction on the Kizomba A deepwater development on Angola Block 15. Kizomba A is expected to recover approximately one billion bbl of oil from the Hungo and Chocalho Fields at a target production rate of 250,000 b/d. First oil from Kizomba A is scheduled for late 2004.
In June 2002, Esso announced that it had begun construction of the Xikomba deepwater development on Block 15. Xikomba is expected to recover approximately 100 million bbl of oil with a target production rate of 80,000 b/d. First oil from Xikomba is scheduled for late 2003, making it the first oil production on Esso-operated Block 15.
In addition to Esso, the operator of Angola's Block 15 with 40% interest, other participants in the block are BP Exploration (26.67%), Agip (20%), and Statoil (13.33%). Angola's state oil company Sonangol is the concessionaire.


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