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Mozambique LNG will process gas from the offshore Area 1 (Image: Total)
“We are confident the Mozambique LNG pro- The guarantee is being done jointly with
ject will create opportunities for the people of Export Credit Insurance Corporation of South
the country and drive sustainable economic Africa (ECIC), which has enabled a significant
growth. We believe that the success of projects African contribution to the overall financing of
such as this will create a precedent through the project.
which other development projects in Africa can This joint collaboration is offered under
secure funding and gain international traction. the South Africa-Africa Trade and Investment
We are delighted to be one of the key stakehold- Promotion Programme (SATIPP), launched in
ers involved in this project, which will accelerate 2018, to promote and expand trade and invest-
the rate of growth of intra-African trade,” said ments between South Africa and the rest of the
Benedict Oramah, president of Afreximbank. continent.
The Mozambique Area 1 LNG project is an In line with Afreximbank’s strategy of using
integrated LNG development that will initially partnerships to promote trade and investments
comprise two LNG liquefaction trains – each in Africa, Afreximbank is once again deploy-
capable of processing 6.44mn tonnes per year ing its ECA-Plus guarantee, offered under the
(tpy). Afreximbank Guarantee Programme (AFGAP),
A key focus is for the project to be developed to support this project.
in an environmentally and socially sustainable The ECA-Plus Guarantee facilitates col-
manner and that it operates responsibly, protect- laboration between Afreximbank and global
ing the environment, as well as the health and export credit agencies where Afreximbank uses
safety of the public, employees and contractors. its guarantee to share risk with ECAs in Afri-
The $400mn commitment to the project is in can related transactions and projects by way of
line with Afreximbank’s strategy of promoting co-guarantees and re-guarantees. The objective
intra-African trade as well as industrialisation is to help create capacity, reduce risk and unlock
and export development. capital for African trade and investments. ™

Somalia launches first

offshore bidding round

SOMALIA SOMALIA’S government has launched its first curb the coronavirus (COVID-19) pandemic.
offshore licensing round and is reportedly plan- According to Ibrahim Ali Hussein, the new
ning to wrap up the auctions early next year. CEO of SPA, the agency hopes to name the top
The Somali Petroleum Authority (SPA) for- bidders and finalise contracts with them before
mally opened the bidding contest on August 4 the end of the first quarter of 2021.
and will continue accepting offers until March He confirmed that the SPA, which was for-
12, 2021. It is conducting the auctions online, in mally established late last month, would oversee
line with public health measures introduced to the licensing round.

P12 www. NEWSBASE .com Week 32 12•August•2020