Page 4 - GLNG Week 25

GLNG afRiCa GLNG
Go for Mozambique LNG
FID for the Anadarko-driven LNG plan in Mozambique puts the country in a strong position for exports and domestic bene ts
PRojECts & CoMPaniEs
WHat:
mozambique lNG
has reached fid, with production expected to start in 2024.
WHy:
progress was slow as a result of the need to secure spAs for production.
WHat nExt:
rovuma lNG is expected to reach fid this year.
ANAdARKo Petroleum and its partners on Mozambique LNG have taken the nal invest- ment decision (FId). is follows Eni’s decision to go ahead with its Coral South oating LNG (FLNG) project in the country, in June 2017. Plans for a third liquefaction facility, Rovuma LNG, are due to be sanctioned this year.
Mozambique LNG will take gas from Area 1, while Coral South and Rovuma LNG are based on the adjacent Area 4. Assuming all three pro- jects move ahead as expected, Mozambique would be the largest LNG producer on the continent.
Mozambique LnG
The US company, which is in the process of being acquired by occidental Petroleum, with its African assets being sold on to France’s Total, announced the move on June 18. All conditions needed for the decision have been ful lled, it said, with notice provided to the government.
Notice was officially given at an event in Maputo, involving Mozambican President Fil- ipe Nyusi, Mozambican Minister of Mineral Resources Ernesto Max Tonela and Anadarko’s chairman and CEo, Al Walker.
The president described it as a “historic day” for the country. “Today’s sanctioning of the Anadarko-led Area 1 Mozambique LNG project solidi es a path toward the creation of thousands of jobs for our people, significant economic growth for our nation, and the poten- tial to be one of the world’s largest providers of cleaner energy for decades to come. It is truly one of the most important and transformational pro- jects in our country’s history.” e government approved the Mozambique LNG plan in March 2018.
Walker noted the world’s demand for cleaner energy, with the project “ideally located” to sup- ply the Asian and European markets. “We look forward to safely executing the next phase of this project for the long-term bene t of Mozam- bique, its people, our partnership, and our customers.”
Details
The plant will involve two trains, with total capacity of 12.88 million tonnes per year (tpy), with gas from the Golfinho and Atum fields. e statement also noted that it would play a signi cant part in providing gas for domestic consumption, in order to help drive economic development.
First LNG should come in 2024. Area 1 is considered to hold 2.12 tcm of gas, while the wells are expected to be able to ow at 2.8-5.7 mcm per day. Costs have been estimated at around US$20 billion.
e Mozambique LNG and Rovuma LNG projects will both be constructed at the Afungi LNG park, in the northern Cabo delgado Prov- ince. Anadarko’s statement said the Area 1 team would be responsible for constructing shared facilities, including the materials o oading facil- ity and the LNG marine terminal.
ere are around 5,000 workers already on site, working on associated construction projects such as resettlement, expanding the camp, build- ing an airstrip and the Palma-Afungi highway. Notice to proceed will be given to the contractors shortly to move ahead with the various works proper.
Saipem, Mcdermott International and Chi- yoda – as the CCS joint venture – won construc- tion work on the liquefaction facilities at the beginning of June. Saipem said its share of work was worth US$6 billion, while Mcdermott said its share was around US$2 billion. Chiyoda will serve only as an advisor.
A statement from Mitsui on the FId said it planned “to raise nance for the project from overseas public nancial institutions and Japa- nese nancial institutions”.
The project has been a long time coming. Anadarko announced the first discovery – Windjammer – in February 2010. Following a number of exploration successes, it became clear the Rovuma Basin was a world-class resource. Wells from the rst campaign came to be classed as the Prosperidade complex, while Gol nho was announced in 2012.
Contractors
TechnipFMC, through its subsidiary FMC Technologies: subsea trees, completion workover riser & installation workover control system, sub- sea controls system, subsea connectors and production manifolds TechnipFMC, through Technip Mozambique: a ermarket services in Mozambique
oceaneering International: subsea umbilicals and distribution hardware and a ermarket services in Mozambique
Advanced Technology Valve: pipeline subsea ball and subsea gate valves Cameron Italy: subsea chemical injection metering valves
TechnipFMC and Vanoord: the engineering, procurement, construction and installation (EPCI) work on the o shore subsea system Mcdermott, Chiyoda and Saipem (CCS): engineering, procurement and construction (EPC) contracts for the liquefaction facility and sup- port facilities.
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w w w . N E W S B A S E . c o m Week 25 27•June•2019