Negotiations with the consortium that will build the Cabinda refinery, due to start operating in 2022, are almost complete, the president of Angola’s state oil company Sonangol, announced on Friday in Luanda.

Carlos Saturnino, quoted by Angolan daily newspaper Jornal de Angola, also said “there are very advanced negotiations with the consortium regarding the financial part of the project,” as well as the equipment.

The construction of the Cabinda refinery, which will have a daily processing capacity of 60,000 barrels of crude oil, was awarded to the United Shine consortium, with 90% of the capital, in partnership with Sonangol Refinação (Sonaref) with the remaining 10%.

The president of Sonangol said that efforts are being made to speed up the formation of the consortium and its shareholder structure that will build the Lobito refinery, a project that has been suspended since 2016 due to falling oil prices.

Saturnino reported that Sonangol and the Ministry of Mineral Resources and Oil had received a written confirmation that Zambia intends to be a shareholder in the Lobito refinery.

The Lobito refinery project, located on Morro da Quivela, 10 kilometres from Lobito, in an area of 3,805 hectares, represents an initial investment of US$10 billion and provides for the daily processing of about 200,000 barrels of oil.