Angola Accelerates Gas Strategy with LNG Expansion, Non-Associated Gas Development
Angola is advancing a new gas strategy focused on non-associated gas, LNG optimization, pipelines and domestic demand growth, reshaping its long-term energy outlook.
Angola is accelerating a shift away from associated gas reinjection toward non-associated gas development, LNG optimization and domestic demand growth, marking a pivotal transition in its long-term gas strategy.
Historically, Angola treated natural gas primarily as a byproduct of oil production, with large volumes reinjected to support reservoir pressure and offshore operations. While this sustained crude output, it left significant gas value untapped. According to African Energy Chamber, the country’s entry into global LNG markets began with the Angola LNG project in 2008, which reduced flaring and monetized associated gas from major offshore blocks operated by ExxonMobil, TotalEnergies, bp, Eni and Chevron.
Despite this progress, roughly half of Angola’s associated gas production is still reinjected today, reinforcing the importance of non-associated gas to sustain exports and support future growth. In late 2024, Chevron achieved first gas from the Sanha Lean Gas project in Block 0, adding incremental feedgas to Angola LNG. Meanwhile, the New Gas Consortium—led by Azule Energy with Sonangol, Equinor and Acrep—is advancing the Quiluma and Maboqueiro non-associated gas fields in the Lower Congo Basin, with initial supply expected to support LNG operations by 2026.
Exploration activity is also gaining momentum, African Energy Chamber reported. Azule announced a gas discovery at the Gajajeira-01 well in Block 1/14 in mid-2025, with further exploration planned in the Congo Fan and Namibe basins. However, several gas-dominated discoveries—particularly in the Kwanza basin—remain stranded due to high deepwater development costs and a lack of evacuation infrastructure.
Midstream constraints remain the central challenge. Developing Kwanza basin gas would require new offshore and onshore pipelines, connections to domestic demand centers near Luanda, and potential extensions to Soyo to access Angola LNG. High capital costs, tariffs and fiscal terms have delayed investment decisions, with industry analysts noting that progress will depend on coordinated upstream participation, institutional capital and targeted incentives.
Alongside exports, Angola is positioning gas as a driver of domestic industrialization. Power generation anchors near-term demand, led by the 750-MW Soyo combined-cycle plant and planned expansions. Industrial projects, including a proposed ammonia facility in Soyo, could add significant long-term gas demand if infrastructure is developed.
Angola LNG remains the cornerstone of gas monetization in the near term, but policymakers increasingly view exports and domestic markets as complementary. If midstream infrastructure is aligned with upstream development, LNG revenues could underpin a broader gas value chain—supporting power, industrial growth and positioning Angola as a more diversified gas supplier in Africa.