Page 15 - AfrOil Week 49 2022

AfrOil PROJECTS & COMPANIES AfrOil

The latter field lies 10-30 km north of Kudu to a floating production unit (FPU) and then
and may hold several trillion cubic feet of gas, pumping gas through a 198-km pipeline to a
it added. 420-MW thermal power plant (TPP) on a float-
BW Energy did not say when its contractor ing barge south of Luderitz. ™
expected to begin collecting 3D seismic data.
Kudu is slated to begin production in 2026,
and the Norwegian company intends to sell
the gas to Namibia’s national power provider
Nampower at the rate of about 65mn cubic
feet (1.84mn cubic metres) per day, Upstream
Online reported. Delivery volumes could even-
tually double, according the Heads of Terms
(HoT) that the parties are currently negotiating.
Equity in the Kudu project is split 5% to state-
owned Namibia Petroleum Corp. of Namibia
(NAMCOR) and 95% to BW Energy. The latter
company has already hired a contractor to per-
form FEED work on a development plan that
calls for linking development wells at the field The Kudu field is slated to begin production in 2026 (Image: HRT)

Mozambique’s first LNG export

shipment arrives in Bilbao

MOZAMBIQUE THE first cargo of LNG exported from Mozam- anchored at the field in 2,000-metre-deep water,
bique was delivered to the Spanish port of Bilbao and it is the first floating gas liquefaction plant
on December 7. ever to be deployed at a deepwater site off the
According to ship-tracking data, the LNG coast of Africa.
arrived in Bilbao on the British Sponsor, a Coral South LNG is led by Eni. The Italian
173,400-cubic metre tanker owned by Kmarin major acts as the upstream delegated operator
and chartered by BP (UK). The ship had been of the Area 4 consortium, which in turn is com-
at sea since November 13, when it departed prised of Eni, ExxonMobil (US), China National
Mozambican waters after filling its tanks with Petroleum Corp. (CNPC), Galp (Portugal),
production from the Coral Sul floating LNG KOGAS (Korea) and Mozambique’s national oil
(FLNG) vessel. company (NOC), Empresa Nacional de Hidro-
BP is handling the LNG under a 20-year carbonetos (ENH).
off-take agreement with the Coral South LNG Meanwhile, the operator of Area 4 is Mozam-
consortium, which is led by Eni (Italy). This bique Rovuma Venture (MRV), an incorporated
agreement makes the British super-major joint venture that is owned by ExxonMobil, Eni
responsible for transporting 100% of the LNG and CNPC. MRV owns a 70% stake in the Area
turned out by the Coral Sul FLNG, which has a 4 exploration and production concession con-
single production train with a capacity of 3.4mn tract, while ENH, Galp and KOGAS each have
tonnes per year (tpy). 10% stakes. ™
BP and Eni have indicated that a significant
amount of the LNG produced by Coral South
LNG will be delivered to Europe, where demand
for gas has been running high as a consequence
of the Russia-Ukraine war. They have not iden-
tified any specific buyers, though.
The Coral South LNG consortium has a
licence for a section of a block known as Area
4, located offshore Mozambique in the Rovuma
basin. Its first development target within Area 4
is the Coral field, which was discovered in 2012.
Eni and its partners made an FID in favour of
going forward with the $10bn Coral South LNG
project in 2017, and the FID calls for using the
Coral Sul FLNG to liquefy 450bn cubic metres
of gas from Coral. The FLNG vessel is currently The British Sponsor departed Mozambican waters on November 13 (Image: Kpler)

Week 49 08•December•2022 www. NEWSBASE .com P15