Inauguration of Cabinda Refinery marks new energy cycle for Angola

The Cabinda Refinery, the first to be built in Angola since independence, was officially inaugurated on 1st September by the President of the Republic of Angola, João Manuel Gonçalves Lourenço, marking a decisive step towards energy self-sufficiency and industrial diversification in the country.

The project is the result of a partnership between Gemcorp and Sonangol, through a joint venture in which Gemcorp holds 90% of the capital and Sonaref 10%. In its first phase, the modular refinery will process up to 30,000 barrels of crude oil per day, supplied by Sonangol, and will double its capacity to 60,000 barrels a day after the completion of the second phase, which is already underway.

The first phase of the Cabinda Refinery involved an investment of US$473 million, financed by equity capital (US$138 million) and an international banking syndicate (US$335 million) comprising the Africa Finance Corporation (AFC), African Export-Import Bank (Afreximbank), Industrial Development Corporation (IDC), Arab Bank for Economic Development in Africa (BADEA) and Banco de Fomento Angola (BFA). The financing model was awarded the ‘Africa Oil & Gas Deal of the Year’ prize by Infrastructure Journal Global.

The Minister of Mineral Resources, Petroleum and Gas, Diamantino Pedro Azevedo, stated that "the Cabinda Refinery is a structuring project for Angola's energy sovereignty, which guarantees greater added value to national crude oil, reduces dependence on costly imports and creates skilled jobs.” He also stressed that "this investment strengthens international confidence in the country and responds to the strategic priorities of the Executive."

Gemcorp Holdings CEO Atanas Bostandjiev said that this milestone demonstrates Angola's ability to deliver world-class projects in critical sectors. He stressed that "Gemcorp's investment and collaboration with Sonangol and leading financial institutions send a clear message that Angola is now a credible and competitive destination for international investment."

Gemcorp ICS CEO Marcus Weyll added that more than 3,000 direct jobs have been created in this initial phase, with 90 companies from Cabinda involved. He also highlighted ‘the implementation of an intensive training programme that has already reached 700 Angolans and will extend to 5,000 people by next year, ensuring that the refinery is operated by highly qualified national staff". He further emphasised that Gemcorp "is not only building an industrial base, but also creating knowledge and skills for future generations."

The project involved the collaboration of 200 Angolan companies and more than 500 companies from 15 countries, representing a highly complex logistical and engineering effort.