Page 11 - MEOG Week 33

MEOG NRG MEOG

long-term forecast for gas exports. Energy Min- of the exceptional economic circumstances cre-
ister Abdelmajid Attar had said earlier in the ated by the COVID-19 pandemic.
month that state-controlled Sonatrach expected “The Waitsia Gas Project Stage 2 in the Mid
the volume of gas sold to foreign buyers was West is an exception to the policy. Once sanc-
likely to drop into the 25-30 bcm per year range tioned, it will provide urgently needed jobs, roy-
in 2025. More recently, though, he has said that alties and economic stimulus for the region and
exports will not sink below 30 bcm per year until the state,” he said.
2030. Waitsia, considered to be one of the country’s
On the other end of the continent, France’s largest onshore discoveries in the last four dec-
Total is gearing up to spud a new well offshore ades, is estimated to produce 1.5mn tonnes per
South Africa. It is preparing to send the Deepsea year of LNG over seven years.
Stavanger rig to Block 11B/12B and will begin Traditional offshore LNG projects, which are
drilling the Luiperd-1 well before the end of already required to ring fence 15% of their feed-
August. stock production the local market, will not be
affected by the changes. McGowan added: “For
If you’d like to read more about the key events shaping the domestic gas policy to work, the market also
Africa’s oil and gas sector then please click here for needs to know how much gas is available to it,
NewsBase’s AfrOil Monitor. and when the gas is available. We’ve listened to
WA industry’s calls for this transparency and the
WA ringfences onshore gas projects amended policy will ensure it happens.”
The Western Australia government has
announced plans to prevent the sale of future If you’d like to read more about the key events shaping
onshore natural gas projects, barring a single Asia’s oil and gas sector then please click here for
project, to East Coast or overseas buyers. NewsBase’s AsianOil Monitor.
The move effectively scuttles the controversial
transnational pipeline running from Western SAMIR soap opera continues
Australia that the National COVID-19 Commis- Five years on from its closure, the seemingly
sion Advisory Board (NNC) has recommended endless case of Morocco’s SAMIR refinery con-
to the federal government as worthy of support. tinues to drag on, while work on other refining
WA Premier Mark McGowan said on August projects throughout MEA appears to be picking
17 that he wanted to avoid a repeat of the market up.
volatility currently being experience on the east Despite bids having been made for the
coast. “Western Australia’s domestic gas policy SAMIR unit in Mohammedia, it looks likely
is the envy of the nation, and the updated policy to be utilised for storage.
will ensure our state can continue to access relia- Poor management has been cited as the
ble and affordable gas,” he said. reason for the refinery’s failure, with legal
The Waitsia project was the only onshore cases played out very publicly. Meanwhile,
development to receive an exemption. Japan’s Russian bank VEB is in talks to construct a
Mitsui and Co. and Beach Energy are develop- new refinery that would presumably replace
ing the gas field via a joint venture and are still SAMIR, though optimism should be tem-
to reach a final investment decision (FID) on the pered given that this appears to be a case of
project. history repeating.
McGowan said his government had given Japan’s JGC announced last week that it
in-principle support to allow Waitsia fill capacity had been awarded a $3.75bn contract to build
at the Karratha Gas Plant and export some of its new refining facilities on land adjacent to the
production as liquefied natural gas (LNG) “for a existing 210,000 barrel per day (bpd) Shuaiba
short period of time”. This was, he said, because refinery outside Basra in southern Iraq.

Week 33 19•August•2020 www. NEWSBASE .com P11