Angola Commissions First Oil Refinery in 50 Years

Angola has inaugurated its first new oil refinery since gaining independence in 1975, marking a historic milestone in the country’s energy sector.

The Cabinda Refinery, located in the oil-rich Cabinda province, is expected to begin commercial fuel production before the end of 2025, a development aimed at reducing Angola’s heavy dependence on imported refined petroleum products.

The refinery, which cost between $500 million and $550 million in its first phase, will initially process 30,000 barrels of crude oil per day. It was developed by London-based investment group Gemcorp, in partnership with Angola’s state oil company, Sonangol, which holds a 10 percent stake and will provide crude supplies. Plans are already in place for a second phase that will double the plant’s capacity to 60,000 barrels per day and introduce hydrocracking units capable of producing diesel and jet fuel.

Currently, Angola imports nearly 72 percent of its refined fuel, amounting to about 3.3 million metric tons each year, despite being one of Africa’s largest oil producers.

The new facility is projected to cover 5 to 10 percent of the nation’s fuel demand once fully operational.

Authorities say the project will also reduce foreign exchange outflows, create jobs for local communities, and strengthen energy independence.

The launch comes at a critical time as Angola continues to phase out its long-standing fuel subsidies, a policy that has weighed heavily on state finances and sparked public protests in the past.

By boosting local refining, the government hopes to cushion the economic and social impact of subsidy removal while ensuring a more stable domestic supply of petrol, diesel, and aviation fuel.

Speaking at the inauguration, officials described the refinery as not just an industrial achievement but also a symbol of Angola’s determination to control more value within its energy chain.

Economic analysts say the project could significantly shift Angola’s fuel balance, especially if the planned expansion is delivered on schedule.

The Cabinda refinery is the first large-scale facility of its kind built in Angola in half a century.

For a country that has long exported crude while spending billions importing refined products, the development signals a major step toward energy self-sufficiency.