Angola to Launch the 2007 2008 Exploration bidding round

Angola to Launch the 2007-2008 Exploration Bidding Round

10-24-2007

Sonangol E.P has announced that all national and international oil companies seeking to pre-qualify to participate in Angola’s 2007-2008 E&P Licensing Round must submit the proper documentation to Sonangol by November 13, 2007. The 10 blocks (three onshore and seven offshore) in the round include onshore Cabinda Centro, onshore Kwanza blocks KON 11 and 12, block 9 in shallow water, deepwater blocks 19, 20 and 21 in the Kwanza Basin, and newly designated ultra-deepwater blocks 46, 47 and 48 in the Lower Congo Basin.

The Sonangol bid round pre-qualification requirements include:

- Entities that intend to pre-qualify as non-operators must submit:

- Their firm or business name;

- Place of the company or firm’s incorporation, and/or countries of registration, and address of the main office;

- The company’s primary business activity or key focus;

- Details of their assets structure, namely the value of equity capital, current assets and investment in current assets, as well as the value of current liabilities;

- References from reputable banking institutions endorsing their financial capability;

- Annual activity reports, including balance sheets and accounts for the last three years (or since inception if the investing company had existed for less than three years). A proven, experienced and independent auditing firm; must audit such accounts - Details of their experience in the field of oil exploration and production, including details regarding reserves and production;

- Number of workers employed and professional experience of management staff in the field of oil exploration and production;

- Details regarding court cases and arbitrations in which the bidder has been involved during the last five years; - Details of existing plans, future commitments, including work programs or risks that might impact the company’s ability to implement any future work programs relating to the Angolan concessions in which they may become parties; - Details of business activity conducted in Angola to date. Entities that intend to pre-qualify as operators:

Any operator of an oil concession shall, in addition to the elements referred to in the Requirements of a non-operating Associate of the National Concessionaire, meet the following requirements:

- Must have competence and experience in the management and performance of petroleum operations;

- Must have technical and operational competence;

- Must have an efficient organizational structure.

In support of its application, the operator may also submit other relevant documents relating to its experience in the performance of petroleum operations, namely in the areas of safety, environmental protection, and the employment, integration and training of Angolan staff.

Companies that are already involved in petroleum operations in Angola are not exempt from the pre-qualification process and should submit all of the documents mentioned above.