Page 8 - AfrOil Week 07 2021

AfrOil INVESTMENT AfrOil

He acknowledged that the parties still needed to Pipeline (EACOP). Total, CNOOC and the gov-
fine-tune “a few minor details” but insisted that ernment of Tanzania have teamed up to build
the decision would be taken within the next few this link, which is set to cost around $3.55bn.
weeks. Ugandan authorities hope to direct around
“Our plan is to close this by end of this month 60,000 bpd of oil to a refinery that will turn out
or [at] latest mid-March,” he said. petroleum products for the local market. The
As of press time, neither Total nor CNOOC price tag for this facility, which has yet to be built,
had commented on the matter. is expected to be $480mn. ™
Ugandan authorities had said previously that
they hoped the Lake Albert project would reach
the FID stage by the end of 2020. However, the
decision was delayed yet again amidst unrest in
the run-up to the presidential election that took
place in mid-January.
Total and CNOOC are developing Blocks 1,
1A, 2 and 3A in western Uganda, and their acre-
age includes the Kingfisher and Tilenga oilfields.
Development of these two sites is expected to
cost around $6.7bn and will include the con-
struction of two central processing facilities
(CPFs) and a network of local feeder pipelines.
The Lake Albert fields are anticipated to
begin production in 2025 and will eventually
yield at least 260,000 barrels per day of crude.
Most of these volumes, or up to 216,000 bpd,
will flow to market via the East Africa Crude Oil The Lake Albert blocks include the Kingfisher and Tilenga oilfields (Image: Total)

PERFORMANCE
ACTING: Sub-Saharan Africa could

yield extra 74mn tpy of LNG supply

REGIONAL SUB-SAHARAN Africa could provide an extra development. This includes Nigeria LNG’s
74mn tonnes per year (tpy) of LNG export seventh train, BP’s floating LNG scheme in
capacity by 2030 if the market conditions are Mauritania/Senegal, and the Total-operated
right, the African Coalition for Trade and Mozambique LNG and Eni-led Coral FLNG in
Investment in Natural Gas (ACTING) esti- Mozambique.
mated in a report on February 9. “By 2025, sub-Saharan Africa will house four
This supply would be in addition to the 60mn onshore LNG terminals and three FLNG units,
tpy of export capacity that the region is expected able to export 60mn tpy of LNG,” ACTING said.
to have up and running by 2035, ACTING said. Final investment decisions (FIDs) could be
The organisation was established only on Febru- taken on a further 74mn tpy of capacity by 2030,
ary 3 by the Johannesburg-headquarterd Afri- ACTING said, estimating that the gas offshore
can Energy Chamber and investment research Mauritania, Senegal and Mozambique could
firm Hawilti Energy. justify 90mn tpy. An approval at the Exxon-
Sub-Saharan Africa can also expand its gas Mobil-led 15.2mn tpy Rovuma LNG project
consumption, primarily through gas-to-power could come “in the near future,” ACTING said,
projects, ACTING said. but it cautioned against expectations of further
“Natural gas has the potential to be a true growth.
enabler of economic recovery post-COVID and “Anything beyond that is very uncertain, at
to support Africa’s energy transition,” African best,” it said. “Simply put, the outlook for future
Energy Chamber chairman NJ Ayuk said. sub-Saharan African LNG export projects is
The region currently yields only limited unclear.”
amounts of gas, despite its abundant resources. In the medium and long term, though, mar-
It has 33.8mn tpy of operational LNG export ket conditions could clear the way for further
capacity spread across Angola, Cameroon, FIDs, including on further development of BP’s
Equatorial Guinea and Nigeria, while a further Mauritania/Senegal project, bringing its capac-
26mn tpy has been sanctioned and is under ity to 10mn tpy.

P8 www. NEWSBASE .com Week 07 17•February•2021