05-01-00 Crude oil production has begun from Angola's first deep-water oilfield, Chevron announced. The new oil from Kuito, combined with ongoing production from Block 0, raises Chevron-led production in Angola to a record level of 519,000 bpd.
Kuito is expected to reach peak production of 100,000 bpd by the end of this quarter. The Kuito field, discovered in April 1997, lies offshore Cabinda Province in Angola's deep-water Block 14, a 1,560-square-mile concession adjacent to Chevron-operated Block 0.
"This is a significant day for Angola," said Peter Robertson, newly appointed president of Chevron Overseas Petroleum Inc. "Kuito first oil occurred on Dec. 15 -- and was achieved under budget and just over 2 1/2 years after its discovery -- a remarkable accomplishment. We've established a production rate of about 45,000 bpd, and expect to ramp up to 50,000 bpd," he said.
"With the advent of Kuito production, Angola approaches the new millennium with the distinction of being one of the world's bestareas for frontier oil exploration and production, especially in deep-water areas," Dick Matzke, vice chairman of Chevron said. "In the years to come, development of the other significant discoveries we've made in Block 14 will become a major element contributing to Angola's economic growth."
Mark Puckett, managing director of Chevron's Luanda-based Southern Africa business unit, said that in the initial phase of Kuito development, 12 subsea wells produce crude oil for processing to the FPSO Kuito, a floating production, storage and off-take vessel. Through a separate floating buoy, crude will be pumped into tankers for export. A subsea water injection system, installed in conjunction with the initial subsea production system and controlled aboard the FPSO, will enhance production from the field. Water injection will begin mid-2000.
Puckett noted that once start-up and commissioning is complete (within 4 to 6 weeks), no natural gas will be flared at Kuito. Natural gas, which is present in the reservoir and produced in association with the crude oil, will either be used as fuel for the FPSO or re-injected into the reservoir.
"The Kuito facilities are state-of-the-art and meet the most stringent international environmental standards," Puckett said. "Kuito is the first of several such projects in Block 14," Puckett noted, adding that detailed reservoir and development studies are now under way for the Benguela and Belize fields, both of which were discovered by Chevron and its partners last year.

Block 14 is operated by Chevron, which holds a 31 % interest in the concession. Sociedade Nacional de Combustiveis de Angola (the Angolan national oil company known as Sonangol), Agip Angola Exploracao BV, and Total Angola each hold a 20 % interest; Petrogal holds the remaining 9 % interest.