Shell has agreed to acquire stakes in two undeveloped ultra-deepwater offshore blocks in Angola from Chevron, marking a further expansion by European energy companies in one of Africa’s key oil producers.
In a statement to media, Shell said it had signed a farm-in agreement with Cabinda Gulf Oil Company, a subsidiary of Chevron, to obtain a 35% interest in offshore Blocks 49 and 50. The company said the deal has received government approval and is now subject to final legal and regulatory steps.
Chevron confirmed the agreement, noting that the transaction remains conditional on completing regulatory procedures.
The move comes as major European oil firms commit billions of dollars to Angola, sub-Saharan Africa’s second-largest crude producer after Nigeria. Luanda has rolled out sweeping regulatory reforms in recent years in a bid to attract foreign investment and stabilise output in a sector that is critical to state revenues.
Angola’s government has said it aims to keep oil production above one million barrels per day, countering long-term declines caused by ageing fields and underinvestment. New offshore exploration is seen as central to that strategy, particularly in ultra-deepwater areas that remain largely untapped.
For Shell, the acquisition strengthens its upstream portfolio in Angola at a time when international energy companies are selectively expanding in regions viewed as offering long-term production potential despite global energy transition pressures.