After years of delay, the first phase of the 60,000 barrels per day (bpd) Cabinda refinery project has been inaugurated by President João Lourenço, marking a major step in the country’s refining drive.
Local sources confirmed the inauguration of the plant to Energy in Africa on Monday, making Cabinda Angola’s second operational refinery after the 65,000 bpd Luanda plant.
The initial phase of the Cabinda project, developed by Gemcorp at a cost of $473 million, will process 30,000 bpd, while the second phase will add another 30,000 bpd.
In August, Energy in Africa reported that the first phase would be commissioned in September 2025, following a speech by President Lourenço in Benguela.
Angola depends on oil for over 80% of its export earnings but still imports about 80% of its fuel needs.
To reduce this dependency, the government has set a target of reaching 445,000 bpd of refining capacity before 2027.
The plan includes both constructing new plants and upgrading existing facilities.
According to Sonangol, the state oil company, the first phase of Cabinda alone could help meet 22% of this target by the end of 2025.
“The Cabinda refinery will play a major role in helping us reduce imports and strengthen our domestic refining capabilities,” said Joaquim Kiteculo, CEO of Sonangol Refining.
What to know about Cabinda refinery
Despite delays caused largely by the COVID pandemic, Cabinda phase one is finally inaugurated.
The first phase of the Cabinda refinery project reached financial close in 2023.
It is backed by a number of funders like the Africa Finance Corporation (AFC), Afreximbank and the Fund for Export Development in Africa.
As is typically the norm in the oil industry, plant’s inauguration marks the completion of construction works.
It is often followed by commissioning which itself precedes commercial production. Cabinda phase one will reach this stage in about three months time.
The plant will produce diesel, aviation kerosene, heavy fuel oil, and naphtha.
The inauguration represents a major milestone in Angola’s efforts to bridge its refining gap and reduce dependence on imports.
Beyond Cabinda, other refinery projects are underway, including the 200,000 bpd Lobito refinery and the 150,000 bpd Soyo plant.
