Angola's Etu Energias aims for IPO in 2026 after Galp stake buy
CAPE TOWN, Aug 7 (Reuters) -Angola's Etu Energias plans to hold an initial public offering in 2026, its chief executive said on Wednesday, weeks after it finalised a $400 million deal to buy Galp Energia's GALP.LS Angolan offshore stakes.
CEO Edson dos Santos said the acquisition, completed in June, would allow Etu Energias, formerly Somoil, to double its production capacity to around 24,000 barrels per day (bdp).
"Our goal is to be a listed company by 2026. That is our target," CEO Edson dos Santos told Reuters.
"Initially we wanted to look at dual listing between Angola and London. We ruled out Johannesburg as the first one, so it's likely going to be Angola first and then London Stock Exchange next," he said.
Etu Energias' purchase of 5% in Block 32, 9% in Block 14 and 4.5% in Block 14K is in line with a broader shift in which indigenous energy companies have bought acreage from majors, including Shell SHEL.L and TotalEnergies TTEF.PA, as they divest from Nigeria and Angola, respectively Africa's biggest and second biggest oil producer.
The deal give Etu Energias its first access to Angola's ultra-deep waters, which are relatively untapped but technically challenging.
Dos Santos said the company had also acquired onshore acreage and aimed to start exploration drilling next year with a view to reaching a target of 50,000 bpd by 2030.
Saudi Aramco's Chief Executive Amin Nasser on Tuesday said he expected demand growth and that market fundamentals did not justify a drop in oil prices LCOc1 that are trading below $80 a barrel.
But Dos Santos said prices were favourable.
"For a company that makes its decisions (and) business plans based on $60 (a barrel), seeing $80 oil is a huge positive impact for us," he said.
Reporting by Wendell Roelf; editing by Barbara Lewis
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