BW Energy enters Angola’s offshore oil & gas playground with new acquisition

December 12, 2025, by Melisa Cavcic

Oslo-listed oil and gas E&P player BW Energy has struck a deal to get hold of minor stakes in two blocks off the coast of Angola.

In a consortium with Maurel & Prom, BW Energy has signed an agreement to acquire a combined 20% non-operated interest in Block 14 and 10% in Block 14K offshore Angola from Azule Energy, a joint venture between two energy majors, Italy’s Eni and the UK’s BP.

Thanks to this transaction, the company’s net share will be 10% in Block 14 and 5% in Block 14K, providing what it describes as a strategic foothold in Angola aligned with its long-term regional growth strategy.

Carl K. Arnet, CEO of BW Energy, commented: “The entry to Angola is a key step in BW Energy’s West Africa growth strategy and provides further diversification of our resource base. Firstly, we see clear upsides beyond the current production in Block 14. And, more importantly, we build a position for potential future operated development opportunities in the country.

“Angola is a mature hydrocarbon basin with an active M&A market and strong political support for the energy sector. We see attractive opportunities for BW Energy to apply our strategy of developing proven reserves and stranded assets through the re-use of existing energy infrastructure to unlock significant value over time.”

While Block 14 is a mature deepwater asset comprising nine producing fields, Block 14K is a tie-back to the main block, operated by Chevron. The license currently runs until 2038. Gross production is approximately 40 kbopd, with net to BW Energy at 4 kbopd.

The current producing reserves are estimated at 9.3 mmbbls net to the company, with several identified opportunities to further increase recoverable volumes. Existing provisions cover the abandonment and decommissioning costs.

According to the Oslo-listed player, the acquisitions are part of a joint transaction with Maurel & Prom, which will acquire equal ownership interests as BW Energy in the two licenses.

The completion of the transaction remains subject to regulatory approvals and customary closing conditions, with closing expected by mid-2026. The transaction carries a base cash consideration of $97.5 million net to BW Energy.

A deposit of $6 million is payable immediately, with the balance to be settled at completion. The final amount will be subject to customary adjustments reflecting cash flows between the effective date of January 1, 2025, and the closing date.

In addition, contingent payments of up to $57.5 million net to BW Energy may become payable upon the occurrence of specific events, including Brent prices exceeding certain thresholds over the 2026–2028 period and achievement of defined production milestones associated with the PKBB development.

The company recently confirmed the completion of drilling operations at the Kharas-1 appraisal well in the Kudu license area in Namibian waters.