CAPITAL: Luanda

MONETARY UNIT: Kwanza

REFINING CAPACITY: 32,100 b/cd

OIL PRODUCTION: 715,000 b/d

OIL RESERVES: 5.4 billion bbl

GAS RESERVES: 1.7 tcf

Angola seemed destined for the big leagues of worldwide oil reserves as the breadth of deepwater discoveries came into focus in 1997.

Industry analysts attributed minimum reserves of 700 million bbl to an Elf Exploration Angola group`s Girassol discovery in 4,425 ft of water on Block 17.

Reserves of the Dalia discovery in 7,400 ft of water on the same block were estimated at more than 700 million bbl in Tertiary Malembo sandstones at 7,400 ft. The fields may overlap.

At yearend 1997 Elf said its Dalia 2 in 4,100 ft of water flowed 15,000 b/d of oil, and it was not known whether the reservoir is connected with that of Dalia 1.

A Shell group`s appraisal of the 1994 Bengo oil discovery in 2,000 ft of water on Block 16 resulted in a downgrade of the reserve estimate to 100 million bbl of 19° gravity, high pour-point crude.

A Chevron group drilled two wells 22 km apart on Block 14 and discovered Kuito field. The wells are in 850 and 1,325 ft of water off Cabinda. Five more wells followed, and only one was dry. More appraisal drilling was needed.

In shallower water, another Chevron group started production from North N`Dola field through the East Kokongo platform. Output was to reach 20,000 b/d by yearend 1997 and help the group hike its Angolan oil production to 600,000 b/d by 2002 from 420,000 b/d in mid-1997.

Ranger Oil received approval for $27 million development of 8 million bbl Kiame oil field in 465 ft of water on Block 4 using a leased OST vessel. Flow was to start in second quarter 1998 and reach 7,000 b/d.

Texaco won operatorship of Block 22, the company`s first deepwater exploration block off Angola.