Gianni Martins has been the General Director of Alfort Petroleum since September 1, 2022. He holds a Bachelor’s and Master’s degree in Petroleum Engineering from the University of Tulsa in the United States. With over 21 years of experience in the oil sector, he began his professional career at Chevron, CABGOC, in 2002 as an intern in the Reservoir Management Department. In 2007, after completing his higher education, he joined Sonangol, working in the Upstream sector within the Production Directorate (DPRO) of the former National Concessionaire. In 2014, he left the state-owned company and embraced a new challenge, starting his private business career as Chairman of the Board of Directors at Global Inn Investments, an investment company in the oil and mining sectors. Currently, in addition to his executive role at Alfort Petroleum, he also serves as a Board Member at Banco BIC and Sanlam Angola Seguros. He is an active participant in the social arena as the President & Founder of GGMF, a non-profit Non-Governmental Organization dedicated solely to philanthropy.

“Onshore development is indeed a new frontier for Angola. The novelty of onshore exploration in Angola means we are breaking new ground, creating opportunities and addressing gaps.”

TBY talks to Gianni Martins, CEO of Alfort, about the company’s position in the market, collaborating with local providers, and the development of the onshore oil sector.

Could you provide an overview of how Alfort has positioned itself in this market?

We were established 17 years ago, initially as a service company. Recently, we transitioned into an E&P company, making us newcomers in this role. We participated in the licensing rounds in 2015, which was canceled, and in 2020. We are currently focused on our exploration activities, primarily onshore. This shift was catalyzed by the Angolan government creating opportunities for local companies to enter the Oil & Gas Sector. My personal background has been instrumental in navigating this transition. Coming from a regulatory role about a decade ago, I was well-versed in the “Dos” and “Don’ts”, which helped us strategically position ourselves. Unlike many newcomers, we have adopted a very cautious approach, focusing on a single concession. This decision reflects our commitment to sustainability and controlled growth. The sector had been stagnant for some time, but the establishment of the ANPG revitalized the industry, creating opportunities for companies such as ours. This has been a transformative journey, and while the challenges remain, the potential is enormous.

Are there specific areas where you see potential for collaboration with organizations in Angola?

As a local player, we prioritize empowering local service providers. Another key focus is integrating additional members into our concession. These synergies, rather than traditional partnerships, are central to our approach. We have also been fortunate enough to secure strong financing for our operations, granting us the flexibility to execute our plans effectively. Currently, we are in the advanced stages of exploration, with our seismic acquisition program completed. Given that it is an onshore development, the timeline from exploration to production is shorter than offshore projects. Our cautious approach means we have concentrated on specific areas we deem prolific within our concession, rather than expanding to other concessions. This focus allows us to move efficiently while minimizing risks. International synergies are likewise critical, especially in a high-risk industry like ours. The current global focus on energy transition and environmental considerations has made securing funding challenging. Banks are hesitant, but private equity funds, independent oil companies, and trading houses like Trafigura or Vitol, etc., have become vital sources of financing. For specialized services, we often rely on international expertise. While local providers are improving, the Angolan oil sector still lacks the depth of specialized capabilities required for complex operations. Opting for experienced international partners ensures operational reliability and risk mitigation.

Could you elaborate on the technology Alfort uses for onshore exploration?

We are currently focused on seismic acquisition, which is relatively non-invasive. For non-specialists, seismic acquisition might sound dramatic, but it is essentially an ultrasound of the Earth. Pulses are sent into the ground, and the returning signals create a detailed subsurface map. This method allows us to identify potential resources without significant disruption. We are particularly excited about the potential of our concession. It holds promise for reversing Angola’s production decline, which has persisted in recent years. We believe our findings will be a pleasant surprise for the industry.

Given increasing demand and confined operational spaces, how do you plan to increase supply to meet market needs?

This is where regulatory support plays a crucial role. Ideally, we would have infrastructure in place, much like in the US, where producers can tap into existing networks. In Angola, confined concession spaces present logistical challenges, but the Regulator has given us the flexibility to innovate. If our exploration program succeeds, we will likely need to develop logistical solutions to transport oil and gas efficiently. This presents an exciting challenge, allowing us to design our blueprint for integrated operations. The novelty of onshore exploration in Angola means we are breaking new ground, creating opportunities and addressing gaps.

Angola’s oil sector has historically favored offshore operations. How does this influence onshore development?

Onshore development is indeed a new frontier for Angola. During the civil war, operations focused mainly offshore to avoid conflict zones, leaving onshore potential largely untapped. Even now, major oil companies prefer offshore projects due to fewer interface with key stakeholders such as local communities. However, as a local player, we view onshore exploration as a unique opportunity. It enables us to engage with communities and other stakeholders in ways offshore projects cannot.

The Angolan government has forecast USD60 billion in investment over the next five years. How does Alfort view this potential, and what are your plans for growth?

The USD60 billion projection reflects Angola’s vast potential, though it likely encompasses investments across multiple sectors. Oil and gas should serve as a catalyst for diversifying Angola’s economy. At Alfort, we aim to contribute to this growth by maintaining a steady supply of energy while preparing to expand. While we have been cautious in our early years, we are maturing into a more ambitious company. Future plans include pursuing additional concessions and exploring opportunities in neighboring countries like Namibia. Namibia’s emerging energy sector is particularly attractive due to its proximity and stability. However, our expansion will remain focused and strategic, prioritizing opportunities that align with our capabilities and resources.

Besides Namibia, are there other regional markets you are considering?

Namibia is a high-priority market due to its historical ties to Angola. Mozambique is another potential market, given its significant growth prospects; however, Mozambique faces challenges that may require larger players to address effectively. As a relatively small company, our strategy requires a gradual expansion. Once we consolidate our position in Angola, we plan to explore Namibia and may consider Mozambique or other markets, depending on how circumstances evolve.

What’s next for Alfort as you navigate this evolving landscape?

Our immediate focus is completing our exploration program and confirming the potential of our current concession. Beyond that, we are keen to leverage relinquished assets from major players and expand our footprint in the region. Angola’s onshore sector is still in its infancy, and we are excited to be part of its development. With careful planning, strategic partnerships, and a commitment to sustainability, Alfort aims to become a key player in Angola’s energy sector and beyond. The opportunities are immense, and we are ready to seize them.

Fonte: The Business Year

The African Energy Week (AEW): Invest in African Energy conference – slated for November 4-8 in Cape Town – will once again host an Invest in Angola Energies country spotlight session. Sponsored by the country’s regulator the National Oil, Gas & Biofuels Agency (ANPG) and its national oil company Sonangol as well as energy companies Azule Energy, Alfort Petroleum and ACREP, the session will outline strategic investment opportunities and available blocks ahead of the country’s 2025 licensing round.

Angola offers a wealth of block opportunities for upstream players, featuring proven petroleum plays in shallow and deepwater acreage as well as promising deposits in onshore basins. The country launched its first-ever marginal fields for exploration this year, offering five blocks across acreage with proven reserves and commercial potential. The marginal fields not only support production growth at active assets but offers market access to companies of various sizes and capacities. In tandem, Angola offers 11 blocks via its permanent offer program. The program enables investment outside of the confines of traditional licensing rounds, supporting investment through flexibility. These opportunities will be outlined during the AEW spotlight session, with Angola’s Minister of Mineral Resources, Petroleum and Gas Diamantino Pedro Azevedo set to open the session with a fireside chat.

AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit http://www.aecweek.com for more information about this exciting event.

Following a successful 12-block tender which concluded in 2024, Angola is preparing to launch its next upstream licensing round in Q1, 2025. A 10-block bid round offering blocks for exploration in the Kwanza and Benguela Basins, the round forms part of the country’s multi-year licensing program – launched in 2019 – which aims to award up to 50 blocks throughout a six-year period. As of 2023, 27 blocks have been awarded. A senior representative from the ANPG will provide an update on Angola’s block opportunities, unpacking exploration prospects across the country’s onshore, offshore and marginal fields.

On the back of rising opportunity in Angola, a slate of upstream-focused oil and gas companies have either entered or are strengthening their presence across the market. Amidst its privatization – set to be complete by 2026 – Sonangol is gradually transforming into a competitive upstream operator. The company aims to boost national production by investing in projects in collaboration with upstream partners. Sonangol CEO Sebastião Gaspar Martins joins the country spotlight to shed light on projects and partnerships. Meanwhile, Afentra finalized the acquisition of non-operating interests in two offshore blocks this year from upstream company Azule Energy. With the transaction, Afentra increases its stake in Block 3/05 to 30% and in Block 3/05A to 21.33%. The company also qualified as a non-operator in Angola’s 2023 bid round, with a formal agreement already signed for the KON 19 license. Afentra COO Ian Cloke returns to AEW: Invest in African Energy to discuss the company’s exploration agenda in Angola.

As Angola’s largest private oil producer, Etu Energias aims to produce 50,000 barrels per day (bpd) by 2025. The company recently secured $60 million to support asset acquisition in Angola, enabling the acquisition of a 20% stake in Block 14 and a 10% stake in Block 14K. Edson R dos Santos, CEO of Etu Energias, will unpack the company’s acquisition goals during the AEW 2024 spotlight session. Additionally, Gianni Gaspar-Martins, Managing Director of Alfort Petroleum, will join the discussion, detailing the role Angolan operators play in driving national output. Having qualified as an operator under Angola’s 2020 bid round, Alfort Petroleum is striving to boost production at KON 8, serving as the block’s operator.

Amid this exploration drive, numerous large-scale oil and gas projects are rapidly gaining momentum in Angola, with recent project milestones underscoring IOC commitment to bringing production online. Energy major ExxonMobil made an oil discovery at the Likember-01 well this year – the first as part of Angola’s broader incremental production initiative. The company could inject as much as $15 billion in exploration and production in the Namibe basin, following commercial drilling success. ExxonMobil’s Lead Country Manager and General Manager Katrina Fisher joins the AEW 2024 conversation to discuss the company’s Angolan operations. Additionally, Azule Energy will provide a project update at the country spotlight, with CEO Adriano Mongini leading the discussion. Azule Energy aims to produce 250,000 bpd by 2026 and is accelerating gas monetization through projects such as Quiluma and Maboqueiro fields – Angola’s first non-associated gas project, set to come online in 2026. The country spotlight will also feature Mahesh Swaminathan, Senior Vice President – Global Business Vertical Head at McDermott International. The company secured a contract for the TotalEnergies-led Begonia field development in 2022.

“Angola is not only focused on bringing new projects online by promoting exploration but maximizing output at producing fields. Through its multi-year licensing strategy and proactive approach to marginal field development, the country sets a strong example for other oil and gas producers in Africa,” states NJ Ayuk, Executive Chairman of the African Energy Chamber.  

Font: African Energy Week (AEW)

Gianni Gaspar-Martins, managing director of Alfort Petroleum, talks to The Energy Year about updates regarding Block KON 8 and the company’s strategy to deliver as a new block operator. Alfort Petroleum is a local integrated oil and gas company that works in the upstream sector and markets and distributes petroleum products.

What are the key updates regarding Block KON 8?
We signed the PSA [production sharing agreement] on August 4, 2022 and became KON 8’s operator, after which we started planning, detailing the work programme and preparing budgets for the exploration phase. We were glad to hear from the regulator and concessionaire, the ANPG, that we are among the first companies that have been able to pass this important preparation mark.
Starting in late 2023, we are going to mainly focus on our seismic acquisition programme. We are looking to invest around USD 35 million on exploration. The ANPG did an excellent job providing a very comprehensive data package. We are going to reprocess some of the seismic lines and also acquire new ones.
We’re talking about close to 400 square kilometres. 170 of these square kilometres were processed in the past, and about 200 will be acquired. All of this is in a very specific area of the block that we have identified as holding the most potential. We are also going to focus on conducting our environmental impact studies.

What is your strategy for successfully delivering as a new block operator?
The key here is to put together a good team that can work to achieve results. Some companies find it a little bit difficult to transition from a service company to an operator. Our team’s experience is actually different. We’re coming from the regulatory and operator side.
This is the first time that Alfort Petroleum will operate a block, so of course there’s some associated risks. Consequently, we are going to have to take a very cautious, conservative approach and work with companies that are even more experienced than us.
I don’t think it is a good strategy to work with other small service companies. It makes sense from the financial point of view. However, I would prefer to pay a little bit more but work with more experienced companies because we will also be able to benefit and learn from their experience. These companies also have the balance sheet to handle mistakes, should they occur.

How important are environmental concerns in Alfort Petroleum’s operations?
More than 90% of KON 8 happens to be in the Quiçama National Park. We don’t want any environmental accidents, so we want to make sure that we’re dealing with prudent companies that won’t damage the environment. They will follow protocols and best industry practices.
Furthermore, if they make a mistake, they must have the money to correct it. Right now, minimising environmental risks is our number one priority. We’re reaching the subsurface, so we want to make sure that our footprint on the surface is as minimal as possible.
By going into onshore operations, we want to prove that the energy sector can coexist with the environment. There is an unfortunate negative perception that the oil and gas industry is a dirty industry, and we would like to change it.

How has the Angolan oil and gas sector changed since the creation of the ANPG?
The concessionaire is now a lot more focused. Even in the interactions with investors, we see changes, and the concessionaire is a lot more dynamic. I think this is exactly what investors – both national and international – really need.
For example, every concession must have a financial guarantee. In the beginning we were very concerned as to how we were going to manage this guarantee. Does this mean that we have to put aside the funds for our work programme and then leave the financial guarantee untouched?
The ANPG was very open to finding ways to move forward with us in terms of finding the best solution for all parties, and they gave us the opportunity and freedom to provide feedback. This is a clear example of how close to the industry the ANPG is now.
This is not to say that previously the concessionaire wasn’t. However, I think that the agency now is a lot more dynamic and very focused on the investor, which is good.

How do you see local participation in Angola’s upstream sector evolving in the future?
I think more local companies will participate in the industry, especially thanks to the new onshore blocks that will soon be awarded. I also think that we’re going to have an increase in the number of service providers.
Entering the market as a service provider is what makes most sense for many companies. For example, us going into operatorship is because of our previous experience. For someone that has no experience starting as a service provider is an excellent entry point into the market. It’s always good and important to build a track record.

Where do you see Alfort Petroleum in five years’ time?
In five years I hope that Alfort Petroleum is one of the main operators. By then we will hopefully be a little less risk averse and capable of going into other concessions. We envision ourselves having more concessions.
Furthermore, because our work programme is very aggressive, in five years, we might be in the advanced stages of our development phase. Assuming that we hit a discovery, we might even be looking now at going international. We’re not limiting ourselves to expanding only in Angola. We’re paying close attention to what’s happening in neighbouring countries. Now is not the moment to go abroad. However, we’re eager to, so when we see the opportunity, we’ll go for it.

Fonte: The Next Energy Year