Energean widens its oil & gas portfolio with entry into Angola

March 12, 2026, by Melisa Cavcic

London-based oil and gas player Energean has taken the first step in its strategy to expand its operations into West Africa by acquiring stakes in two blocks off the coast of Angola from the U.S.-headquartered energy giant Chevron.

Man with a hardhat with words "Chevron" on it with an offshore rig in the background — Illustration; Source: Chevron

Energean has signed an agreement to acquire Chevron’s 31% operated interest in Block 14 and 15.5% non-operated interest in Block 14K offshore Angola. This acquisition is perceived to provide a platform for long-term growth in the region.

The Block 14 assets produce approximately 42 kbbl/d of oil in total, equivalent to 13 kbbl/d net to the interest being acquired. The UK-based firm’s adjusted EBITDAX in 2025 was $119 million, and the transaction is expected to be immediately cash flow accretive.

Mathios Rigas, Chief Executive Officer of Energean, commented:“The acquisition of a producing oil portfolio in Angola’s world‑class hydrocarbon basin, highlighted by major recent discoveries, marks a landmark moment for Energean. It represents our first major investment in West Africa and is in line with our strategic focus on disciplined growth and geographic diversification.

“The high-quality and cash-generating Block 14 assets have stable oil production and contain long-term growth optionality, including material resource upside from the PKBB development. We are excited about the opportunity to realise the full potential of these assets, while growing our broader position in the country over time.”

The effective date of the transaction is January 1, 2026, with closing expected by the end of 2026, subject to, among other things, government and regulatory approvals and the waiver of applicable pre-emption rights. Angola has a supportive fiscal regime and regulatory environment, and the transaction brings with it a highly skilled and experienced operating team.

The base consideration is $260 million in cash. Energean expects to fund the final consideration through a combination of non-recourse debt financing on the acquired assets and available group liquidity. The transaction is expected to be immediately cash flow accretive.

In addition to the base consideration, contingent payments of up to $25 million per annum, capped at $250 million in aggregate, may become payable up until 2038 regarding the potential future PKBB development, contingent on both realised oil prices and production being over certain thresholds.

Rigas underlined: “Our proven track record in deepwater operations and offshore project delivery positions us well to support ANPG’s strategic objective for Angola to increase reserves and combat production decline, while creating long-term value for Angola and our shareholders.

“We are pleased to be working in cooperation with Chevron on this transaction and are committed to building on their strong legacy, safety culture, environmental stewardship and operational excellence.”

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The acquisition is subject to regulatory approvals by Angola’s National Agency for Petroleum, Gas and Biofuels (ANPG), other customary governmental and third-party consents, and the waiver of applicable pre-emption rights. Closing is expected by the end of 2026, conditional on the timely receipt of approvals.

“We look forward to working closely with the government of the Republic of Angola and our partners to secure all necessary permits and approvals, complete the acquisition, and advance Energean’s strategic expansion in West Africa,” added Rigas.

Block 14 is an offshore asset, producing from nine oil fields, with output of around 40 kbbl/d gross, including 12 kbbl/d net to the 31% operated interest to be acquired. The current net 2P reserves are 28 mmbbl.

The hydrocarbon production is processed through the Benguela, Belize, Lobito and Tomboco (BBLT) and Tombua-Landana and Landana North (TL) hubs, which together provide significant spare oil processing capacity, along with substantial gas processing and water‑injection capabilities.

The block is said to offer multiple low-risk and near-term opportunities to optimize and maximize existing production, as well as mid-term drilling targets that can be tied back to the existing infrastructure, including the PKKB development, which has significant upside potential.

Energean elaborates that the abandonment obligations for Block 14 are fully funded through existing escrow provisions. On the other hand, Block 14K is a unitised cross-border asset that contains the producing Lianzi oil field, which is tied back to the Block 14 infrastructure.

The production is around 2 kbbl/d gross, encompassing around 1 kbbl/d net to the 15.5% non-operated interest to be acquired. The Block 14 partners are currently Chevron (31%; operator), Etu Energias (29%), Azule Energy (20%), and Sonangol P&P (20%).

However, the Block 14K / A-IMI (Lianzi) partners are Trident Energy (15.75%; operator), Total E&P Congo (26.75%), Chevron (15.5%), Etu Energias (14.5%), Azule Energy (10%), Sonangol P&P (10%), and SNPC (7.5%).