The Democratic Republic of Congo (DR Congo) and Angola state oil companies have entered into a joint venture to extract oil in a corridor between the two countries known as the “Common Interest Zone.” The joint venture deal was signed between Angola’s Sonangol and DR Congo’s Congolaise des Hydrocarbures (Cohydro)

“The agreement with Cohydro was signed by directors of the two companies on Tuesday and refines the terms of exploration activities and general principles that will govern the future production sharing contract,” said Sonangol in a statement.

DR Congo and Angola have common oil interests, including in offshore production between northern Angola and the Angolan enclave of Cabinda, where much of Angola’s production is focused. Oil is the backbone of Angola’s economy. The sector makes up over 90 percent of its exports.

The first oil surveys date back to 1906, but it was not until 1955 that the first oil well was discovered. In 1966, Cabinda Gulf Oil Company discovered important oil reserves in Cabinda. From then on, oil started playing one of the most important roles in the Angolan economy, having surpassed coffee in oil exports as of 1973.

By George Mpofu