Page 16 - AsianOil Week 27

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The headline deal, reported by the Nikkei at the impact of COVID-19, LNG imports are of
the end of last week, is Mitsui & Co. and Japan long-term strategic importance to the country’s
Oil, Gas and Metals National Corp.’s (JOG- energy sector.
MEC’s) ownership of a 20% stake in a 12mn tpy
project that will see the development of a gas If you’d like to read more about the key events shaping
field in the north of Mozambique, Japan’s Nikkei the global LNG sector then please click here for
reported. NewsBase’s GLNG Monitor.
Four Japanese private banks – MUFG
Bank, Mizuho Bank, Sumitomo Mitsui Downstream updates in Latin America
Banking and Sumitomo Mitsui Trust Bank – Officials in Aruba have confirmed that the search
will provide most of the debt funding for the for a new operator for the San Nicolas refinery, a
project, and the state-owned Japan Bank for 235,000 bpd plant formerly owned by Valero, is
International Cooperation (JBIC) will sup- underway. Representatives of the Aruban gov-
ply $3bn in loans. The African Development ernment said last week that they had teamed up
Bank (AfDB) will also support the project, with state-owned Refineria di Aruba NV (RdA)
the report said. to invite qualified bidders to participate in a two-
The report in the Nikkei suggested that the tiered request for expression of interest (REOI).
money would support Total’s Mozambique LNG Potential investors have been asked to respond
project, in which Mitsui & Co. and JOGMEC by July 17, they said.
together hold 20%. Aruba’s government is also mulling offers
Japan’s confirmation of the involvement of from three companies interested in using the
its commercial banks as well as the state-owned San Nicolas refinery’s tanks to store crude oil and
JBIC is a good sign that Total will be able to petroleum products. It has not identified any of
secure all its financing by the end of 2020. the bidders, but it hopes to sign a lease contract
In June, Total said it had reached an agreement with the winner of the tender by August 1.
with a group that included 20 lenders for the first Meanwhile, KBR has agreed to supply
phase of senior debt funding of $14.4bn. Other Uruguay’s state oil company Administracion
banks named included Standard Bank Group, Nacional de Combustibles Alcohol y Pórt-
Societe Generale and Rand Merchant Bank. land (ANCAP) with technology for a refinery
As well as Total’s $20bn Mozambique LNG upgrade project. Under a new contract with
project, which aims to produce 12mn tpy of ANCAP, the US-based oilfield services giant will
LNG, ExxonMobil is developing the 7.6mn tpy help Uruguay’s NOC upgrade the 50,000 bpd
Rovuma project in the African country. How- Eduardo Acevedo Vázquez refining complex at
ever, only Total is close to FID, with Exxon delay- La Teja. KBR’s technology will allow the plant to
ing any decision until 2021. produce more high-value light fuels.
Even though Japan’s LNG imports fell by In Mexico, independent fuel importers have
8.8% y/y in April to 5.13mn tonnes, because of complained that bureaucratic procedures are

P16 www. NEWSBASE .com Week 27 09•July•2020