Eni Advances Angola Portfolio With Ndungu Field's First Oil Production

Eni S.p.A. E announced the start-up of the Ndungu full-field, part of the Agogo Integrated West Hub (IWH) Project in Block 15/06 offshore Angola, marking the commencement of oil production. The project is operated by Azule Energy, the equal joint venture between Eni and BP plc BP.Azule Energy controls a 36.84% stake in the Agogo IWH Project, sharing ownership with Sonangol E&P at 36.84% and Sinopec International at 26.32%.

With seven production wells and four injection wells, Ndungu is anticipated to reach a peak capacity of 60,000 barrels per day. Achieving production only six months after the Agogo FPSO delivered first oil demonstrates the swift execution of the project. This reflects strong operational planning and efficient delivery of a technically complex offshore development, while maintaining high safety standards, ultimately reinforcing the company’s business model and bolstering investor confidence in its long-term growth strategies.

The Agogo Integrated West Hub Project is being executed in phases to ensure sustained long-term production. Initially, oil from Ndungu will be processed through the N’goma FPSO before transitioning to the Agogo FPSO later. This phased approach is designed to maintain consistent production from Block 15/06 offshore Angola, supporting the country’s broader energy and economic objectives.

When both Agogo and Ndungu fields are fully operational, they are expected to produce up to 175,000 barrels of oil per day combined.

BP and E are leading integrated energy companies and project successes like this enhance the resilience of their upstream portfolios while supporting future cash flow.

With West Texas Intermediate crude trading above $65 per barrel, per Oilprice.com, the business environment for the upstream businesses of Eni, which currently carries a Zacks Rank #4 (Sell), and BP appears to be softening. However, forecasts from the U.S. Energy Information Administration suggest that crude prices may decline further, indicating continued pressure on their exploration and production segments in the near term.

Some other prominent integrated oil and gas companies are Chevron Corporation CVX and Exxon Mobil Corporation XOM. Like BP and E, CVX and XOM remain sensitive to fluctuations in crude oil prices. At present, BP, CVX and XOM carry a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Chevron, the prominent Houston-based energy giant, achieved record production levels in the fourth quarter of 2025, driven by its strong upstream assets.

Exxon Mobil achieved its strongest performance in more than 40 years with an average daily production of 4.7 million barrels of oil equivalent in 2025.

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This article originally published on Zacks Investment Research (zacks.com).

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