TotalEnergies has made a final investment decision to proceed with development of the Kaminho deepwater project in Block 20/11 offshore Angola and signed a memorandum of understanding (MoU) with project partner Sonangol EP to share expertise on research and technology, notably in decarbonization of the oil and gas industry.
The aim of the Kaminho project is to develop Cameia and Golfinho oil fields, which lie 100 km off the coast in 1,700 m water-depth. Project sanction has been made possible through collaboration with concessionaire Agencia Nacional de Petroleo e Gas (ANPG), the operator said in a release May 21.
The project—the first large deepwater development in the Kwanza basin—comprises conversion of a very large crude carrier (VLCC) to a floating production storage and offloading (FPSO) unit, which will be connected to a subsea production network. The all-electric FPSO is designed to minimize greenhouse gas emissions and eliminate routine flaring. Associated gas will be fully reinjected into the reservoirs, TotalEnergies said.
TotalEnergies awarded three contracts worth a total $3.7 billion to Saipem for work on the project. The contracts include the engineering, procurement, construction, transportation, and commissioning of the Kaminho FPSO; operation and maintenance of the vessel for 12 years with a potential 8-year extension; and engineering, procurement, supply, construction, installation, pre-commissioning and assistance for commissioning and start-up of a subsea, umbilicals, risers, and flowlines package which includes 30 km of 8-in. and 10-in. subsea flowlines and risers, and umbilicals.
Production start-up is expected in 2028, with a plateau of 70,000 b/d of oil. TotalEnergies is operator of the block with 40% interest. Partners are Petronas (40%) and Sonangol (20%).
“This project, which leverages innovation to fit with our investment criteria - breakeven under $30/bbl and carbon intensity of 16 kg CO2e/boe - will become our seventh FPSO in the country and the first-ever development in the Kwanza basin”, said Patrick Pouyanné, chairman and chief executive officer of TotalEnergies.
Further, Pouyanné said the MoU with Sonangol aims to “promote innovation and low-carbon technologies for the energy industry in Angola, in particular to slash methane emissions and contribute to the diversification of Angola's energy mix.”
TotalEnergies’ teams will provide support to Sonangol for the start-up and operation of its new Sumbe R&D center and for the development of the skills of the Sonangol research and technology teams, with a focus on reservoir geology, process electrification, and photovoltaics.