CHAPTER 23 ANGOLAN PSA

• Jurisdiction: Derecho Internacional

International Mining and Oil & Gas Law, Development, and Investment
(Apr 2011)
CHAPTER 23
ANGOLAN PSA
Cesar Paxi
Songangol EP
Luanda

CESAR PAXI, General Counsel, Songangol EP, Luanda, Angola

Cesar Paxi M.J. Pedro

General Counsel

Sonangol EP.

Cesar.paxi@sonangol.co.ao

Angola Overview

Area: 1,246,700 km2 (23th)

Population: 13,338,541

GDP (PPP / 2010): $ 114.1 billion

GDP Real Growth (2010): 5.9 %

Oil Production (2009): 1.95 million bbl/day

Oil Proved Reserves (2010): 13.5 billion bbl

Natural Gas Proved Reserves (2010): 271.8 billion m3

Petroleum Activities Law

• Petroleum Activities Law (Law 10/2004)

— Establishes the main definitions applicable to petroleum activities in Angola

— Determines the exclusivity of the National Concessionaire (Sonangol E.P.)

— The National Concessionaire may associate with other entities.

— Acquisition of E&P Rights:

— Open Tender Procedure (Bid)

— Assignment Procedure

• Association with the National Concessionaire

— The National Concessionaire must hold more than 50% participating interest

— The Production Sharing Agreement is the most commonly adopted form of association

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Production Sharing Agreement

• Production Sharing Agreement

— Parties: National Concessionaire and the Contractor Group

— 2 contractual...