Angola’s crude oil output has climbed back above 1 million barrels per day (bdp), supported by new investment from international companies seeking to tap its offshore and onshore reserves.
The country produced an average of 1.03 million bdp in August, up from 998,757 bdp in July, according to the National Agency for Petroleum, Gas and Biofuels (ANPG).
Officials noted that this marked a recovery after production fell below 1 million bdp for the first time in more than two years.
Angola has set maintaining production at around 1 million bdp as a key target since it withdrew from the Organisation of the Petroleum Exporting Countries (OPEC) in 2023.
The government said it is working to stabilise output and attract further foreign investment as part of its long term strategy.
ANPG confirmed that the country plans to launch its next licensing round for oil blocks in the fourth quarter of 2025.
This will be the final sale under a multi year programme initiated in 2019 to award 50 concessions.
On his part, Petroleum Minister Diamantino Azevedo mentioned earlier this year that five new blocks will be put forward for bidding before the end of 2025.
He explained that the move is part of efforts to expand exploration and safeguard revenues.
Big Oil renews interest in Angola
The rebound in production has been supported by renewed interest from major oil companies.
British oil firm Shell Plc signed agreements in 2024 to return to Angola after a 20 year break, partnering with Chevron Corporation and state owned Sonangol EP to explore new blocks in the Congo Basin and Kwanza Basin.
This signalled a turning point after years of decline when Angola struggled to keep output above 1 million bdp.
In addition, the government’s reform drive since 2019, which eased contract terms and licensing rules, has helped draw back shell and encouraged fresh investments from ExxonMobil and TotalEnergies.
These companies are expanding exploration and drilling projects, providing the foreign capital and expertise needed to keep production stable and maintain Angola’s position as Africa’s leading oil producer.
Despite the recovery in August, Angola still faces financial challenges.
Oil prices are trading below the $70 per barrel benchmark used in its 2025 national budget, creating pressure on government spending.
The International Monetary Fund (IMF) reported earlier this month that the country’s fiscal deficit could widen to 2.8% of GDP in 2025, urging the government to control expenditure and limit reliance on expensive borrowing.
Crude oil remains Angola’s most important source of revenue, and any fluctuations in output or prices directly affect national income.
Beyond this, the government is relying on new blocks and foreign participation to keep production stable in the coming years.
