A consortium of European companies has signed up an agreement with Angolan government for exploration of its gas and oil reserves.
The consortium includes two Spanish (Gas Natural and Repsol YPF), and Portuguese companies (Galp Energia and EXEM), one Italian company (Eni) and Angolan state energy company, Sonangol.
Spanish companies have taken a joint 20 percent stake in the consortium along with Italy's Eni. Two Portuguese companies have taken a stake of 10 percent each while Angolan state energy company Sonangol, retains the remaining 40
percent stake.
Work will begin in the first quarter of 2008 on evaluating the gas reserves, and this study will decide the necessary investment to develop the reserves, which will be exported as Liquefied Natural Gas (LNG).
The two Spanish giants had signed an agreement with Angola last June designed to develop projects in the African country, which is seen having large potential for exploitation of its gas and oil reserves.