Can you provide an overview of recent developments at ACREP Angolan E&P Company?

Over the past four years, ACREP Angolan E&P Company (ACREP) has undergone a significant transformation. In 2023, we strategically shifted to becoming an operator, a goal we had set since our inception 20 years ago. This transition was marked by our successful acquisition of a 55% interest in Cabinda South Block, enabling us to attain operator status in that field. This move was pivotal as it positioned us to engage more proactively with international companies operating in Angola.

ACREP has strengthened its asset portfolio through strategic acquisitions, efficient management, and a results-driven approach. Key milestones include acquiring a 10% stake in Block 1-14, fully consolidating Dinge Sondagens, a drilling services company wholly owned by ACREP, and the recent acquisition of Block KON 19 as the operator.

We are committed to becoming a major independent energy producer. This goal drives us to explore new opportunities and monetize the existing gas reserves in the Cabinda South Block.

Could you elaborate on your plans for Cabinda South Block and other blocks?

Our immediate focus in the Cabinda South Block centers on stabilizing and increasing production, monetizing the gas reserves in the Noz field, and leveraging our existing infrastructure and operational expertise to expand our operations in other blocks in Cabinda. 

Can you tell us about your role in the 2023 Angola bidding round?

In the 2023 Angola bidding round, ACREP actively participated by submitting bids for two blocks: KON 19 and KON 15, and we were successful in being selected as operators for KON 19. 

What are ACREP’s next steps? 

Our primary focus is to expand our operational presence by becoming operators in at least two additional blocks, both onshore and potentially in the Cabinda North Block. Diversifying our portfolio is crucial to our strategy. In this regard, ACREP has already achieved one of its milestones through our subsidiary, Dinge Sondagens, which provides essential drilling and well repair services, with our rig being one of the only onshore rigs available in the country. Additionally, we are enhancing our service capabilities by offering seismic services. 

Taking advantage of our actual associated flared gas installed powered generation sets, in early 2024, we launched an off-grid pilot test rural power distribution system around our oil production facilities.

The exploration program being conducted on Block 1/14, where ACREP has a 10% equity participation, will drill the first wildcat well in April 2025, whose studies indicated quite attractive reserves, of light oil to condensates and gas. 

In the immediate future, we are focused on ramping up operations in these new blocks and enhancing our production capabilities. As part of our strategy, we are divesting assets to finance these expansions while also seeking to invest in mature fields to bolster our reserves. By 2028, we aim to reach a production capacity of 10,000 bpd.