Total Angola partners with Sonangol on downstream sector products

Total has announced its recent move to develop joint activities in the downstream petroleum sector in Angola, with national company Sonangol.

In a statement issued by Total Angola, the two companies have decided to establish a Joint Venture company to develop a common retail and distribution activity in the country, the fourth largest market in sub-Saharan Africa.

While developing B2B activities, the Total-Sonangol Joint Venture will initially focus on fuel distribution and lubricants sales on the B2C segment, starting with a network of service stations under the TOTAL brand.

Depending on the outcome of the ongoing liberalization process, Total also intends to address through this partnership both petroleum products logistics and supply, including imports and primary storage of refined products.

According to the agreement, Sonangol will make available 45 petrol stations located in urban areas in 10 coastal provinces, while Total will contribute with the necessary financial resources to achieve the partnership’s objectives, including doubling the number of petrol stations over a five-year period and developing business-oriented activities and the sale of lubricants.

“Total is very pleased to establish a new partnership in Angola, following decades of collaboration in upstream with Sonangol. Through the establishment of these joint fuel distribution activities, Total is further strengthening its footprint in the country,” commented Momar Nguer, President Marketing and Services and Executive Committee Member at Total.

He went on to observe that the partnership is in line with their strategy to expand in large growing markets worldwide. Referring to Total as the largest retailer in Africa, Nguer said that their intention is to capitalize on this opportunity to roll out in Angola their offer of products and services.

As at now, the transaction only awaits approval from the competition authorities