Page 12 - AfrOil Week 47 2019

AfrOil
NEWS IN BRIEF
AfrOil
TGS commences 3D survey offshore Senegal
TGS is commencing a new seismic survey in the MSGBC Basin, offshore north-west Africa. The Senegal North Ultra-Deep Offshore (SN-UDO-19) 3D survey covers over 5,100 square km, with a modern broadband acquisi- tion set-up. The project is being undertaken in partnership with GeoPartners – using the vessel, BGP Prospector – and has the full support of the Senegalese national oil company, Petrosen.
This stand-alone survey is located in north- ern Senegal and is a continuation of the recently completed SS-UDO-19 3D acquisition in south- ern Senegal. The survey has been designed to illuminate plays in the ultra-deep, enabling explorers to build upon the success the basin has experienced with the Sangomar field, the GTA complex and Yakaar discoveries. The project has a 75-day acquisition timeline, with fast-track data available three months after acquisition, in time for evaluation of blocks available in the recently announced Senegal Offshore 2020 License Round. The full dataset will be available byQ4-2020.
Kristian Johansen, CEO of TGS, commented: “This survey will provide the industry with essential subsurface insight ahead of Senegal’s Offshore License Round which is scheduled to commence early next year. SN-UDO-19 extends our coverage in a highly prospective region where TGS has been actively acquiring data for almost two years. The MSGBC Basin remains a key region for TGS, where our unique combina- tion of multi-beam, seafloor sampling, seismic, interpretation and imaging products deliver the best subsurface knowledge in the industry. As we expand offshore activities in the South- ern Atlantic, we are well positioned to provide our customers with valuable insights to further develop opportunities both offshore Senegal and in the wider region.”
TGS, November 22 2019
Yinson raises $800mn through refinancing deal for FPSO operating offshore Ghana
Yinson Holdings recently sealed an $800mn refinancing agreement with13 local and global banks to refinance FPSO John Agyekum Kufuor, a Yinson vessel that is currently operating in OCTP Block, offshore Ghana. The FPSO John Agyekum Kufuor is chartered to Eni Ghana Exploration & Production, a wholly owned sub- sidiary of Eni, an Italian multinational energy
company that has a long-term credit rating of A-by Fitch.
The refinancing allows Yinson to enjoy lower interest rates whilst freeing up capital to be invested in future projects. The refinancing agreement was signed by Yinson Production (West Africa), a subsidiary of Yinson, with the following participating banks: CIMB BANK, Clifford Capital, Crédit Industriel et Commer- cial, DBS Bank, Korea Development Bank, Maybank Investment Bank, MUFG Bank, Natixis (Singapore Branch), Oversea-Chinese Banking Corp., Societe Generale (London Branch), Sumitomo Mitsui Banking Corp., Standard Chartered Bank (Singapore), United Overseas Bank.
Yinson Group’s chief strategy officer Daniel Bong said that the deal was oversubscribed by over 45%, an indication of the strong support Yinson was receiving from the financial commu- nity. “This deal is an innovative capital velocity exercise that we believe will further improve the returns of the project. The fact that this deal is oversubscribed speaks of the confidence that the banking market has in Yinson, to maintain high uptime and the quality of our asset for the next 12years,”hesaid.
Yinson Holdings, November 19 2019
LNG
African Development Bank supports Mozambique’s ambition to become global LNG player
The Board of Directors of the African Devel- opment Bank Group on Thursday approved a long-term Senior Loan of $400mn to support the building of an integrated LNG plant, including a liquefaction facility in Mozambique.
The Mozambique LNG Area 1 Project, ranked Africa’s single largest Foreign Direct Investment to date, comprises a global team of energy developers and operators, led by Total alongside Mitsui, Oil India, ONGC Videsh Ltd, Bharat Petroleum, PTT Exploration, as well as Mozambique’s national oil and gas company ENH.
By its approval, the African Development Bank joins a global syndicate of commercial banks, development finance institutions, and export credit agencies, to jointly provide the requisite senior debt financing for the project. Financial close is expected within the first half of 2020.
Commenting on the approval, Bank Group President Akinwumi Adesina said: “Through its
participation, the African Development Bank again demonstrates its leading role in support- ing Africa’s transformation. The catalytic effect brought about by the Bank is strategically aimed to help transform Mozambique from ‘develop- ing’ to ‘developed’ nation.”
Adesina added: “Working closely with the Government of Mozambique, we can ensure that the local population reaps the benefits from its nascent natural gas value-chain, thus creating growth opportunities and widespread indus- trialisation, while at the same time accelerating regional integration across Southern Africa.”
In June this year, the group of investors reached final investment decision on the pro- ject, which carries a price tag in excess of $20bn, thereby facilitating the initial commercialisation of one of the world’s most important gas discov- eries in the past two decades.
The LNG liquefaction plant will have a pro- duction capacity of 12.88mn tpy. The Project is the first of several LNG trains expected to undergo development in the northern part of the country. Mozambique is expected to become one of the world’s largest LNG exporters and its gas represents an important source of supply diver- sification,whichstandstobenefitglobalenergy markets.
Through this approval, the Bank carries a mandate to ensure the project’s adherence to international transparency standards and full compliance with environmental and social requirements, in line with its Integrated Safe- guards System. In addition, the Bank’s partic- ipation introduces key social and economic indicators into the loan monitoring, including areas such as job creation, gender empower- ment, and linkages for small businesses. With a portion of the gas allocated to the domestic mar- ket, the Bank’s focus is on supporting economic diversification and industrialisation in both Mozambique and across SADC.
The Bank’s involvement is consistent with its country strategy in Mozambique, which aims to leverage natural resources development to accel- erate agricultural transformation and invest- ment in sustainable infrastructure, the Board heard.
The Project also aligns with three of the Bank’s ‘High 5’ Strategic Priorities –(i) Indus- trialise Africa, through the anticipated indus- trial activity that domestic gas may generate in Mozambique and the larger Southern Africa region; (ii) Light Up and Power Africa, through the availability of gas to fuel power generation locally and regionally; and (iii) Improving the Quality of Life for the People of Africa, through the creation of thousands of jobs, local SME link- ages, and gender empowerment, in addition to the positive impact on macroeconomic stability and the overall regional integration dynamics. African Development Bank, November 26 2019
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Week 47 27•November•2019