Following independence, the new government enacted
sweeping
changes in the oil industry and claimed sole rights over
all of the
petroleum deposits in the country. Under the Petroleum Law
No.
13/78, enacted on August 26, 1978, the government
established
Sonangol as the exclusive concessionaire of the state's
hydrocarbon
resources. The company was divided into several
directorates,
including one for the development of hydrocarbons and
another for
the distribution of byproducts on the domestic market. The
hydrocarbons directorate was responsible for reaching
agreements
with private companies for the development of local
resources. In
1978 it divided Angola's offshore area (except for
Cabinda) into
thirteen blocks of approximately 4,000 square kilometers
each for
development by private companies
(see
fig. 8). By 1981
exploratory
drilling had been conducted on Blocks 1 through 4, and
production
began in Blocks 2 and 3 in 1985.
Sonangol was empowered to enter into two types of
agreements
with foreign companies: joint ventures, in which Sonangol
and its
private partners shared in investments and received
petroleum
produced in the same proportion (51 percent Sonangol, 49
percent
foreign); and production-sharing agreements, in which the
foreign
company served as a contractor to Sonangol, made the
necessary
investments, and was compensated by receiving a share of
the oil
produced. Sonangol also could stipulate a price cap in the
production-sharing agreements that would allow windfall
profits to
accrue to Sonangol and not to the foreign companies. In
practice,
all of the new areas opened up for exploration and
production since
independence have been subject to production-sharing
agreements,
while the areas previously under production--primarily in
Cabinda--were joint-venture operations between Sonangol
and foreign
companies. In addition, Sonangol also participated in
joint-venture
companies that provided services and supplies to the oil
exploration and production companies.
Except for Cabinda, production in the offshore fields
started
after independence. In offshore Block 1, the first seismic
work
began in May 1982, and the first drilling commenced in
December of
that year. Activity in Block 2 began in 1980, and by 1985
two
fields were producing (Cuntala and Essungo) a total of
11,700
barrels per day (bpd--see Glossary). In addition, oil was
discovered by the end of 1985 in the West Sulele formation
in Block
2. Sonangol had started construction in Block 2 of the
Kwanda
operational base to provide support for operators in
Blocks 1, 2,
and 3. Block 3 also started exploration activity in 1980,
and by
1986 at least six wells there were considered commercial.
A major
development project was being initiated in Block 3 for the
Palanca
and Pacaca fields and for a sea-loading terminal. The
other blocks
in exploration were 4, 5, 6, 7, and 9; Blocks 8, 10, 11,
and 12 had
not been opened by the government as of the end of 1985
(see
table 8, Appendix A).
Oil was also produced in onshore fields in the Cuanza
and Congo
river basins. There were forty-six wells in the Cuanza
River Basin,
near Luanda, where production began in 1959. In 1986
Sonangol
estimated that the field had a life of another five to six
years at
then-current levels of production. Being an old field, it
had very
low production costs. The oil fields in the Congo River
Basin,
however, were far more productive, yielding nearly eight
times the
amount raised in the Cuanza River Basin. From 1981 to
1985, between
30,700 bpd and 39,900 bpd were produced in the Congo River
Basin,
but an average of only about 4,200 bpd was produced in the
Cuanza
River Basin.
In addition to its production agreements, Sonangol has
actively
invested in the development of production capabilities and
in
exploration and distribution projects. In 1979 the company
compiled
the available data on the sedimentary basins and carried
out a
seismic survey program on the continental platform, upon
which the
subsequent division of the continental shelf platform was
based.
Furthermore, the company has made major investments in
expanding
its ability to distribute petroleum at home and abroad
since it
assumed direct responsibility in 1977 for marketing
Angolan oil
(Cabgoc marketed Cabinda oil, which accounted for almost
half of
Angola's oil production). Some of Sonangol's other major
investments included gas injection facilities in Cabinda;
development of the Takula, Lumueno, Quinfuquena,
Quinguila,
Essungo, and Cuntala fields and the offshore Cabinda
fields;
construction of the Kwanda oil field service base; and
construction
of the Quinfuquena oil terminal.
New arrangements have also been made for the future
development
of several production areas. Financing totaling US$350
million has
been secured for the development of the Takula fields in
Cabinda,
owned jointly by Sonangol and Cabgoc, from an
international
consortium of banks. Cabgoc has also signed three new
joint-venture
contracts on oil research and exploration in Cabinda.
Under the
terms of these contracts, Cabgoc was to be responsible for
the
total cost of the research operations and was to be
reimbursed by
Sonangol only if commercially viable oil was discovered.
As a result of the many joint-venture and
production-sharing
agreements reached by the government in the late 1970s, by
1985
US$798 million had been invested in exploration and US$1.2
billion
in development. The largest investors were Cabgoc and
Sonangol in
Cabinda and the French firm Elf Aquitaine and its partners
in Block
3. This increased investment has led to higher production.
For
example, production in Cabinda more than doubled between
1980 and
1985.
|
Background | | Angola is rebuilding its country after the end of a 27-year civil war in 2002. Fighting between the Popular Movement for the Liberation of Angola (MPLA), led by Jose Eduardo DOS SANTOS, and the National Union for the Total Independence of Angola (UNITA), led by Jonas SAVIMBI, followed independence from Portugal in 1975. Peace seemed imminent in 1992 when Angola held national elections, but fighting picked up again by 1996. Up to 1.5 million lives may have been lost - and 4 million people displaced - in the quarter century of fighting. SAVIMBI's death in 2002 ended UNITA's insurgency and strengthened the MPLA's hold on power. President DOS SANTOS held legislative elections in September 2008 and, despite promising to hold presidential elections in 2009, has since made a presidential poll contingent on the drafting of a new constitution.
|
|
Location | | Southern Africa, bordering the South Atlantic Ocean, between Namibia and Democratic Republic of the Congo
|
|
Area(sq km) | | total: 1,246,700 sq km
land: 1,246,700 sq km
water: 0 sq km
|
|
Geographic coordinates | | 12 30 S, 18 30 E
|
|
Land boundaries(km) | | total: 5,198 km
border countries: Democratic Republic of the Congo 2,511 km (of which 225 km is the boundary of discontiguous Cabinda Province), Republic of the Congo 201 km, Namibia 1,376 km, Zambia 1,110 km
|
|
Coastline(km) | | 1,600 km
|
|
Climate | | semiarid in south and along coast to Luanda; north has cool, dry season (May to October) and hot, rainy season (November to April)
|
|
Elevation extremes(m) | | lowest point: Atlantic Ocean 0 m
highest point: Morro de Moco 2,620 m
|
|
Natural resources | | petroleum, diamonds, iron ore, phosphates, copper, feldspar, gold, bauxite, uranium
|
|
Land use(%) | | arable land: 2.65%
permanent crops: 0.23%
other: 97.12% (2005)
|
|
Irrigated land(sq km) | | 800 sq km (2003)
|
|
Total renewable water resources(cu km) | | 184 cu km (1987)
|
|
Freshwater withdrawal (domestic/industrial/agricultural) | | total: 0.35 cu km/yr (23%/17%/60%)
per capita: 22 cu m/yr (2000)
|
|
Natural hazards | | locally heavy rainfall causes periodic flooding on the plateau
|
|
Environment - current issues | | overuse of pastures and subsequent soil erosion attributable to population pressures; desertification; deforestation of tropical rain forest, in response to both international demand for tropical timber and to domestic use as fuel, resulting in loss of biodiversity; soil erosion contributing to water pollution and siltation of rivers and dams; inadequate supplies of potable water
|
|
Environment - international agreements | | party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Law of the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution
signed, but not ratified: none of the selected agreements
|
|
Geography - note | | the province of Cabinda is an exclave, separated from the rest of the country by the Democratic Republic of the Congo
|
|
Population | | 12,799,293 (July 2009 est.)
|
|
Age structure(%) | | 0-14 years: 43.5% (male 2,812,359/female 2,759,047)
15-64 years: 53.7% (male 3,496,726/female 3,382,440)
65 years and over: 2.7% (male 153,678/female 195,043) (2009 est.)
|
|
Median age(years) | | total: 18 years
male: 18 years
female: 18 years (2009 est.)
|
|
Population growth rate(%) | | 2.095% (2009 est.)
|
|
Birth rate(births/1,000 population) | | 43.69 births/1,000 population (2009 est.)
|
|
Death rate(deaths/1,000 population) | | 24.08 deaths/1,000 population (July 2009 est.)
|
|
Net migration rate(migrant(s)/1,000 population) | | 1.34 migrant(s)/1,000 population (2009 est.)
|
|
Urbanization(%) | | urban population: 57% of total population (2008)
rate of urbanization: 4.4% annual rate of change (2005-10 est.)
|
|
Sex ratio(male(s)/female) | | at birth: 1.05 male(s)/female
under 15 years: 1.02 male(s)/female
15-64 years: 1.03 male(s)/female
65 years and over: 0.79 male(s)/female
total population: 1.02 male(s)/female (2009 est.)
|
|
Infant mortality rate(deaths/1,000 live births) | | total: 180.21 deaths/1,000 live births
male: 192.24 deaths/1,000 live births
female: 167.58 deaths/1,000 live births (2009 est.)
|
|
Life expectancy at birth(years) | | total population: 38.2 years
male: 37.24 years
female: 39.22 years (2009 est.)
|
|
Total fertility rate(children born/woman) | | 6.12 children born/woman (2009 est.)
|
|
Nationality | | noun: Angolan(s)
adjective: Angolan
|
|
Ethnic groups(%) | | Ovimbundu 37%, Kimbundu 25%, Bakongo 13%, mestico (mixed European and native African) 2%, European 1%, other 22%
|
|
Religions(%) | | indigenous beliefs 47%, Roman Catholic 38%, Protestant 15% (1998 est.)
|
|
Languages(%) | | Portuguese (official), Bantu and other African languages
|
|
Country name | | conventional long form: Republic of Angola
conventional short form: Angola
local long form: Republica de Angola
local short form: Angola
former: People's Republic of Angola
|
|
Government type | | republic; multiparty presidential regime
|
|
Capital | | name: Luanda
geographic coordinates: 8 50 S, 13 14 E
time difference: UTC+1 (6 hours ahead of Washington, DC during Standard Time)
|
|
Administrative divisions | | 18 provinces (provincias, singular - provincia); Bengo, Benguela, Bie, Cabinda, Cuando Cubango, Cuanza Norte, Cuanza Sul, Cunene, Huambo, Huila, Luanda, Lunda Norte, Lunda Sul, Malanje, Moxico, Namibe, Uige, Zaire
|
|
Constitution | | adopted by People's Assembly 25 August 1992
|
|
Legal system | | based on Portuguese civil law system and customary law; modified to accommodate political pluralism and increased use of free markets; has not accepted compulsory ICJ jurisdiction
|
|
Suffrage | | 18 years of age; universal
|
|
Executive branch | | chief of state: President Jose Eduardo DOS SANTOS (since 21 September 1979); note - the president is both chief of state and head of government
head of government: President Jose Eduardo DOS SANTOS (since 21 September 1979); Antonio Paulo KASSOMA was named prime minister by MPLA on 26 September 2008
cabinet: Council of Ministers appointed by the president
elections: president elected by universal ballot for a five-year term (eligible for a second consecutive or discontinuous term) under the 1992 constitution; President DOS SANTOS was selected by the party to take over after the death of former President Augustino NETO(1979) under a one-party system and stood for reelection in Angola's first multiparty elections 29-30 September 1992 (next were to be held in September 2009 but have been postponed)
election results: Jose Eduardo DOS SANTOS 49.6%, Jonas SAVIMBI 40.1%, making a run-off election necessary; the run-off was never held leaving DOS SANTOS in his current position as the president
|
|
Legislative branch | | unicameral National Assembly or Assembleia Nacional (220 seats; members elected by proportional vote to serve four-year terms)
elections: last held 5-6 September 2008 (next to be held in September 2012)
election results: percent of vote by party - MPLA 81.6%, UNITA 10.4%, PRS 3.2%, ND 1.2%, FNLA 1.1%, other 2.5%; seats by party - MPLA 191, UNITA 16, PRS 8, FNLA 3, ND 2
|
|
Judicial branch | | Supreme Court and separate provincial courts (judges are appointed by the president)
|
|
Political pressure groups and leaders | | Front for the Liberation of the Enclave of Cabinda or FLEC [N'zita Henriques TIAGO, Antonio Bento BEMBE]
note: FLEC's small-scale armed struggle for the independence of Cabinda Province persists despite the signing of a peace accord with the government in August 2006
|
|
International organization participation | | ACP, AfDB, AU, CPLP, FAO, G-77, IAEA, IBRD, ICAO, ICCt (signatory), ICRM, IDA, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO (correspondent), ITSO, ITU, ITUC, MIGA, NAM, OAS (observer), OPEC, SADC, UN, UNCTAD, UNESCO, UNIDO, Union Latina, UNWTO, UPU, WCO, WFTU, WHO, WIPO, WMO, WTO
|
|
Flag description | | two equal horizontal bands of red (top) and black with a centered yellow emblem consisting of a five-pointed star within half a cogwheel crossed by a machete (in the style of a hammer and sickle); red represents liberty, black the African continent, the symbols characterize workers and peasants
|
|
Economy - overview | | Angola's high growth rate is driven by its oil sector, which has taken advantage of high international oil prices. Oil production and its supporting activities contribute about 85% of GDP. Increased oil production supported growth averaging more than 15% per year from 2004 to 2007. A postwar reconstruction boom and resettlement of displaced persons has led to high rates of growth in construction and agriculture as well. Much of the country's infrastructure is still damaged or undeveloped from the 27-year-long civil war. Remnants of the conflict such as widespread land mines still mar the countryside even though an apparently durable peace was established after the death of rebel leader Jonas SAVIMBI in February 2002. Subsistence agriculture provides the main livelihood for most of the people, but half of the country's food must still be imported. In 2005, the government started using a $2 billion line of credit, since increased to $7 billion, from China to rebuild Angola's public infrastructure, and several large-scale projects were completed in 2006. Angola also has large credit lines from Brazil, Portugal, Germany, Spain, and the EU. The central bank in 2003 implemented an exchange rate stabilization program using foreign exchange reserves to buy kwanzas out of circulation. This policy became more sustainable in 2005 because of strong oil export earnings; it has significantly reduced inflation. Although consumer inflation declined from 325% in 2000 to under 13% in 2008, the stabilization policy has put pressure on international net liquidity. Angola became a member of OPEC in late 2006 and in late 2007 was assigned a production quota of 1.9 million barrels a day, somewhat less than the 2-2.5 million bbl Angola's government had wanted. To fully take advantage of its rich national resources - gold, diamonds, extensive forests, Atlantic fisheries, and large oil deposits - Angola will need to implement government reforms, increase transparency, and reduce corruption. The government has rejected a formal IMF monitored program, although it continues Article IV consultations and ad hoc cooperation. Corruption, especially in the extractive sectors, and the negative effects of large inflows of foreign exchange, are major challenges facing Angola.
|
|
GDP (purchasing power parity) | | $112.8 billion (2008 est.)
$100.5 billion (2007 est.)
$82.94 billion (2006 est.)
note: data are in 2008 US dollars
|
|
GDP (official exchange rate) | | $84.95 billion (2008 est.)
|
|
GDP - real growth rate(%) | | 12.3% (2008 est.)
21.1% (2007 est.)
18.6% (2006 est.)
|
|
GDP - per capita (PPP) | | $9,000 (2008 est.)
$8,200 (2007 est.)
$6,900 (2006 est.)
note: data are in 2008 US dollars
|
|
GDP - composition by sector(%) | | agriculture: 9.2%
industry: 65.8%
services: 24.6% (2008 est.)
|
|
Labor force | | 7.569 million (2008 est.)
|
|
Labor force - by occupation(%) | | agriculture: 85%
industry and services: 15% (2003 est.)
|
|
Unemployment rate(%) | | NA
|
|
Population below poverty line(%) | | 40.5% (2006 est.)
|
|
Household income or consumption by percentage share(%) | | lowest 10%: NA%
highest 10%: NA%
|
|
Investment (gross fixed)(% of GDP) | | 9% of GDP (2008 est.)
|
|
Budget | | revenues: $28.99 billion
expenditures: $21.44 billion (2008 est.)
|
|
Inflation rate (consumer prices)(%) | | 12.5% (2008 est.)
12.2% (2007 est.)
|
|
Stock of money | | $8.446 billion (31 December 2008)
$4.153 billion (31 December 2007)
|
|
Stock of quasi money | | $10.41 billion (31 December 2008)
$7.216 billion (31 December 2007)
|
|
Stock of domestic credit | | $7.893 billion (31 December 2008)
$1.166 billion (31 December 2007)
|
|
Economic aid - recipient | | $441.8 million (2005)
|
|
Public debt(% of GDP) | | 15.5% of GDP (2008 est.)
12% of GDP (2007 est.)
|
|
Agriculture - products | | bananas, sugarcane, coffee, sisal, corn, cotton, manioc (tapioca), tobacco, vegetables, plantains; livestock; forest products; fish
|
|
Industries | | petroleum; diamonds, iron ore, phosphates, feldspar, bauxite, uranium, and gold; cement; basic metal products; fish processing; food processing, brewing, tobacco products, sugar; textiles; ship repair
|
|
Industrial production growth rate(%) | | 14.3% (2008 est.)
|
|
Current account balance | | $17.11 billion (2008 est.)
$9.402 billion (2007 est.)
|
|
Exports | | $66.3 billion (2008 est.)
$44.4 billion (2007 est.)
|
|
Exports - commodities(%) | | crude oil, diamonds, refined petroleum products, coffee, sisal, fish and fish products, timber, cotton
|
|
Exports - partners(%) | | China 33%, US 28.7%, France 6%, South Africa 4.6%, Canada 4.1% (2008)
|
|
Imports | | $17.08 billion (2008 est.)
$13.66 billion (2007 est.)
|
|
Imports - commodities(%) | | machinery and electrical equipment, vehicles and spare parts; medicines, food, textiles, military goods
|
|
Imports - partners(%) | | Portugal 17.6%, China 15.7%, US 11.3%, Brazil 7.6%, South Korea 6.8%, South Africa 4.8% (2008)
|
|
Reserves of foreign exchange and gold | | $18.36 billion (31 December 2008 est.)
$11.2 billion (31 December 2007 est.)
|
|
Debt - external | | $14.09 billion (31 December 2008 est.)
$8.357 billion (31 December 2007 est.)
|
|
Stock of direct foreign investment - at home | | $16.36 billion (31 December 2008 est.)
$14.51 billion (31 December 2007 est.)
|
|
Stock of direct foreign investment - abroad | | $2.477 billion (31 December 2008 est.)
|
|
Exchange rates | | kwanza (AOA) per US dollar - 75.023 (2008 est.), 76.6 (2007), 80.4 (2006), 88.6 (2005), 83.541 (2004)
|
|
Currency (code) | | kwanza (AOA)
|
|
Telephones - main lines in use | | 114,300 (2008)
|
|
Telephones - mobile cellular | | 6.773 million (2008)
|
|
Telephone system | | general assessment: system inadequate; fewer than one fixed-line per 100 persons; combined fixed line and mobile telephone density exceeded 50 telephones per 100 persons in 2008
domestic: state-owned telecom had monopoly for fixed-lines until 2005; demand outstripped capacity, prices were high, and services poor; Telecom Namibia, through an Angolan company, became the first private licensed operator in Angola's fixed-line telephone network; Angola Telecom established mobile-cellular service in Luanda in 1993 and the network has been extended to larger towns; a privately-owned, mobile-cellular service provider began operations in 2001
international: country code - 244; landing point for the SAT-3/WASC fiber-optic submarine cable that provides connectivity to Europe and Asia; satellite earth stations - 29 (2008)
|
|
Internet country code | | .ao
|
|
Internet users | | 550,000 (2008)
|
|
Airports | | 192 (2009)
|
|
Pipelines(km) | | gas 2 km; oil 87 km (2008)
|
|
Roadways(km) | | total: 51,429 km
paved: 5,349 km
unpaved: 46,080 km (2001)
|
|
Ports and terminals | | Cabinda, Lobito, Luanda, Namibe
|
|
Military branches | | Angolan Armed Forces (FAA): Army, Navy (Marinha de Guerra Angola, MGA), Angolan National Air Force (Forca Aerea Nacional Angolana, FANA) (2009)
|
|
Military service age and obligation(years of age) | | 22-24 years of age for compulsory military service; conscript service obligation - 2 years; Angolan citizenship required (2009)
|
|
Manpower available for military service | | males age 16-49: 2,856,492
females age 16-49: 2,755,864 (2008 est.)
|
|
Manpower fit for military service | | males age 16-49: 1,467,833
females age 16-49: 1,411,468 (2009 est.)
|
|
Manpower reaching militarily significant age annually | | male: 146,738
female: 143,478 (2009 est.)
|
|
Military expenditures(% of GDP) | | 5.7% of GDP (2006)
|
|
Disputes - international | | Cabindan separatists continue to return to the Angolan exclave from exile in neighboring states and Europe since the 2006 ceasefire and peace agreement
|
|
Refugees and internally displaced persons | | refugees (country of origin): 12,615 (Democratic Republic of Congo)
IDPs: 61,700 (27-year civil war ending in 2002; 4 million IDPs already have returned) (2007)
|
|
Electricity - production(kWh) | | 3.722 billion kWh (2007 est.)
|
|
Electricity - production by source(%) | | fossil fuel: 36.4%
hydro: 63.6%
nuclear: 0%
other: 0% (2001)
|
|
Electricity - consumption(kWh) | | 3.173 billion kWh (2007 est.)
|
|
Electricity - exports(kWh) | | 0 kWh (2008 est.)
|
|
Electricity - imports(kWh) | | 0 kWh (2008 est.)
|
|
Oil - production(bbl/day) | | 2.015 million bbl/day (2008 est.)
|
|
Oil - consumption(bbl/day) | | 64,000 bbl/day (2008 est.)
|
|
Oil - exports(bbl/day) | | 1.407 million bbl/day (2007 est.)
|
|
Oil - imports(bbl/day) | | 28,090 bbl/day (2007 est.)
|
|
Oil - proved reserves(bbl) | | 9.04 billion bbl (1 January 2009 est.)
|
|
Natural gas - production(cu m) | | 680 million cu m (2008 est.)
|
|
Natural gas - consumption(cu m) | | 680 million cu m (2008 est.)
|
|
Natural gas - exports(cu m) | | 0 cu m (2008)
|
|
Natural gas - proved reserves(cu m) | | 269.8 billion cu m (1 January 2009 est.)
|
|
HIV/AIDS - adult prevalence rate(%) | | 2.1% (2007 est.)
|
|
HIV/AIDS - people living with HIV/AIDS | | 190,000 (2007 est.)
|
|
HIV/AIDS - deaths | | 11,000 (2007 est.)
|
|
Major infectious diseases | | degree of risk: very high
food or waterborne diseases: bacterial and protozoal diarrhea, hepatitis A, typhoid fever
vectorborne diseases: malaria, African trypanosomiasis (sleeping sickness)
water contact disease: schistosomiasis (2009)
|
|
Literacy(%) | | definition: age 15 and over can read and write
total population: 67.4%
male: 82.9%
female: 54.2% (2001 est.)
|
|
Education expenditures(% of GDP) | | 2.4% of GDP (2005)
|
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