Angola has officially launched the first phase of its long-awaited Cabinda oil refinery, with initial production scheduled to begin by the end of 2025, Mining Zimbabwe can report.
By Rudairo Mapuranga
The move marks a critical first step in the country’s ambitious strategy to curb gasoline imports, ensure domestic fuel security, and position itself as a key supplier for the energy-strapped nations of Southern Africa.
The Cabinda Refinery, a 60,000 barrel per day (bpd) facility, is being developed in phases by Gemcorp Holdings. The initial phase will focus on producing diesel, heavy fuel oil, and naphtha. This is a cornerstone of the Angolan government’s broader Refining and Fuel Storage Expansion Strategy, managed by the Institute for the Regulation of Petroleum Derivatives (IRDP).
“The launch of the Cabinda refinery is not just an Angolan project; it is a strategic investment for the entire region,” said Patricio Vilar, CEO of IRDP, speaking at the Angola Oil & Gas (AOG) 2025 conference. “Our goal is to achieve surplus production for export, directly addressing the fuel supply challenges faced by our landlocked neighbours.”
Angola, Africa’s second-largest crude oil producer, has historically exported its crude only to spend billions of dollars importing refined petroleum products due to a lack of domestic refining capacity. This new refining push, which also includes the recently upgraded Luanda Refinery and the upcoming Lobito Refinery, aims to reverse that dynamic.
For Southern Africa, the implications are significant:
Energy Security for Landlocked Nations: Countries like Zimbabwe, Zambia, Botswana, and the Democratic Republic of the Congo (DRC) rely heavily on road and rail imports of fuel from South Africa, Mozambique, and Tanzania. Angolan refined products, shipped via the port of Lobito or through existing pipelines, would provide a crucial and competitive alternative, diversifying supply chains and reducing regional dependency on a few routes.
Economic Integration and Trade: Angola’s shift to a net fuel exporter would create new trade corridors. The operational Benguela Railway, which runs from Lobito to the DRC border, is poised to become a vital artery for distributing refined fuels into the continental interior, boosting regional integration and reducing overall logistics costs.
Stabilising Prices and Supply: Regional refining capacity helps mitigate the impact of global oil price volatility and supply disruptions. A local source of diesel, critical for mining, agriculture, and transport, could lead to greater price stability and reliability for key industries across the Southern African Development Community (SADC) bloc.
At the AOG 2025 conference, the IRDP outlined a comprehensive master plan that extends beyond Cabinda. The strategy encompasses:
· Luanda Refinery: Recently expanded to 1,200,000 litres/day of diesel and 700,000 litres/day of gasoline.
· Lobito Refinery: A planned 200,000 bpd facility that would be the largest in the country, squarely aimed at the export market.
· Expanded Storage: Development of new and expanded fuel storage terminals across Angola to ensure buffer stocks for domestic and regional demand.
The Cabinda refinery’s initial output will first serve to meet acute domestic shortages in the enclave region before contributing to the national grid. However, analysts note that the full commissioning of Angola’s refinery pipeline is the key to unlocking its potential as a major regional energy hub, fundamentally altering the fuel supply dynamics of Southern Africa.
