Page 11 - AfrOil Week 04 2021

AfrOil POLICY AfrOil

Sangster went on to say that the legislation did maintain Nigeria’s reputation amongst inves-
not provide adequate cover for projects that tors, it is important for the PIB to explicitly
were already underway. “A PIB [that] safeguards preserve base businesses and rights for existing
existing projects and introduces competitive joint venture licences and leases and produc-
terms is required to fully utilise the country’s tion-sharing contracts [PSCs], which form the
resources for the benefit of all Nigerians,” he basis for future growth. Operators should be
said. allowed to retain the entirety of their lease areas
He continued: “OPTS recognises the gov- and new terms should apply only to new con-
ernment’s right to change laws. However, to tracts, licences and leases.” ™

Total CEO, Mozambican president

discuss security for LNG project

MOZAMBIQUE FILIPE Nyusi, the president of Mozambique,
met with Patrick Pouyanné, the chairman and
CEO of France’s Total last week to discuss secu-
rity conditions in the northern Cabo Delgado
province. Total is building a gas liquefaction
plant on Cabo Delgado’s Afungi Peninsula
within the framework of the Mozambique LNG
project.
According to Nyusi’s press service, the
two men agreed that the Mozambique LNG
construction site needed stronger security
arrangements. They also backed calls for the
development and introduction of security strat-
egies that would not disrupt the implementation
of the project, which encompasses the extrac-
tion of natural gas from Total’s offshore acreage,
known as Area 1, and the processing of that gas
into LNG at an onshore complex.
As of press time, it was not clear whether
Nyusi and Pouyanné had mentioned any spe-
cific changes that might be made at Mozam-
bique LNG. The presidential press service noted,
though, that Defence Minister Jaime Neto, Inte-
rior Minister Amade Miquidade and Mineral
Resources and Energy Minister Max Tonela
accompanied Nyusi to the meeting.
Total and its partners in the Mozambique
LNG project have faced difficulties in recent The Mozambique LNG plant will process gas from Area 1 (Image: Total)
months, as an Islamist group known as Ahlu
Sunnah wa-Jamo (ASWJ) has stepped up efforts subsidiary Total E&P Mozambique Area 1
to gain control of Cabo Delgado. The country’s operates Mozambique LNG with a 26.5% par-
armed forces, known as Forças Armadas de Def- ticipating interest alongside ENH Rovuma Área
esa de Moçambique (FADM), are trying to repel 1, S.A. (15%), Mitsui E&P Mozambique Area1
this campaign but have had mixed results. Limited (20%), ONGC Videsh Rovuma Limited
Meanwhile, the Islamist group has con- (10%), Beas Rovuma Energy Mozambique Lim-
ducted a number of attacks in the vicinity of the ited (10%), BPRL Ventures Mozambique B.V.
Mozambique LNG construction site. Earlier this (10%) and PTTEP Mozambique Area 1 Limited
month, for example, ASWJ troops attempted to (8.5%).
infiltrate Quitunda, a nearby resettlement site The partners hope to begin gas production at
for people displaced by the project, in advance Area 1, which lies offshore within the Rovuma
of an attack. That incident led Total to evacuate basin, in 2024. They are then due to bring the
some workers from the Afungi Peninsula, citing first train of their LNG plant online around the
security considerations. same time. This facility will eventually have
Total serves as the operator of the Mozam- two production trains, each with a capacity of
bique LNG consortium, and its wholly owned 6.44mn tpy. ™

Week 04 27•January•2021 www. NEWSBASE .com P11