Page 16 - AfrOil Week 23
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AfrOil                                            POLICY                                                 AfrOil



                         The single Total employee who remains in iso-  Energy Mozambique, a 60:40 joint venture
                         lation has been tested for COVID-19 infection   between ONGC Videsh Ltd (OVL) and Oil India
                         and will be discharged if the results are negative,   Ltd (OIL), with 10%; Mozambique’s national oil
                         he stated.                           company (NOC) ENH, with 10%; and PTTEP
                           He went on to say that the work camp had   (Thailand), with 8.5%. The Total subsidiary is
                         introduced certain restrictions in order to guard   serving as the operator of the project. ™
                         against a second wave of infections. “Since it’s a
                         closed area, the concern now is not to import
                         cases,” he told reporters. “We are witnessing an
                         acceleration of COVID-19 cases outside the
                         camp, but inside the camp it’s controlled.”
                           Total is building the gas liquefaction plant
                         on the Afungi Peninsula within the framework
                         of the Mozambique LNG project. The onshore
                         facility will process natural gas from Area 1, an
                         offshore block in the Rovuma Basin. It will even-
                         tually have two production trains, each with a
                         capacity of 6.44mn tonnes per year (tpy).
                           Equity in the Mozambique LNG consortium
                         is split between Total E&P Mozambique Area 1,
                         with 26.5%; Mitsui (Japan), with 20%; Bharat
                         Petroleum (India), with 15%; Beas Rovuma           Mozambique LNG will process gas from Area 1 (Image: Total)




       Tullow wraps up early oil in Kenya






             KENYA       TULLOW Oil (UK/Ireland) and its partners   Despite all these setbacks, Tullow’s COO
                         have brought their early oil production scheme   Mark MacFarlane described the EOPS as a suc-
                         (EOPS) in Kenya to a halt without exporting all   cess last week. The programme has helped the
                         of the crude they have extracted from fields in   company and its partners prepare for full-field
                         the Lokichar Basin.                  development, he was quoted as saying in a com-
                           EOPS operations came to a halt on June 2,   pany statement.
                         when Tullow’s two-year contracts for truck   “By producing, transporting, storing and
                         transportation of oil from Turkana to Mombasa   exporting crude from northern Kenya, the
                         expired. The company had been using trucks   pilot scheme has provided proof of concept for
                         owned by three Kenyan companies (Primefuels   oil production in the country,” he commented.
                         Kenya, Multiple Hauliers and Oilfield Movers)   “The first export of crude oil from East Africa
                         to deliver the crude to the port of Mombasa,   in 2019 was a historic achievement and demon-
                         where it could be transferred to tankers for   strated the potential of Project Oil Kenya on
                         export.                              world markets.”
                           Initially, Tullow had planned to export about   Tullow is working with Total (France) and
                         500,000 barrels of oil in this fashion. But accord-  Africa Oil (Canada) to develop Blocks 10BA,
                         ing to Martin Mbogo, Tullow Kenya’s managing   10BB and 13T in Kenya. Equity in the project
                         director, it still has about 185,000 barrels left in   is split 50% to Tullow, 25% to Total and 25% to
                         storage at the Mombasa refinery and is working   Africa Oil. ™
                         to determine its next steps.
                           “The decision on the way forward on the
                         stored crude is subject to discussions between
                         the government and joint venture partners,” he
                         told Bloomberg by telephone last week.
                           Tullow’s Kenyan operations have been dis-
                         rupted repeatedly within the last few months. In
                         late December and early January, protest actions
                         and bad weather made the Ortum-Sabit section
                         of the overland route between Turkana and
                         Mombasa impassable. Then in April, the com-
                         pany declared force majeure on its upstream
                         operations. It justified this move by citing fall-
                         out from the coronavirus (COVID-19) pan-
                         demic, which has sharply reduced world energy
                         demand.                                Tullow’s assets lie in western Kenya (Image: Tullow Oil)



       P16                                      www. NEWSBASE .com                           Week 23   10•June•2020
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