Page 6 - GLNG Week 19 2022
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GLNG AFRICA GLNG
African Energy Chamber,
Mozambique share ideas on
ramping up gas development
MOZAMBIQUE THE African Energy Chamber (AEC) has said it project, led by ExxonMobil.
expects Mozambique to make a big contribution By contrast, the Eni-led Coral South LNG
towards meeting regional and global demand for project, which will rely entirely on offshore facil-
natural gas. ities for the extraction of gas to support a floating
In a statement published on Tuesday (May LNG (FLNG) plant capable of turning out 3.4mn
11), the Johannesburg-headquartered AEC tpy, has not been disturbed. Eni has said it still
noted that its executive chairman NJ Ayuk had expects to start production from the Coral gas
met with Carlos Zacarias, Mozambique’s new field in the second half of the year.
Minister of Mineral Resources and Energy, in The AEC is sensitive to the obstacles faced by
Maputo. It reported that both parties had agreed such projects, and Ayuk and Zacarias discussed
to work together to encourage investment, help the steps that can be taken to help work on
kick-start development, foster sustainable eco- Mozambique LNG and Rovuma LNG resume,
nomic growth in southern Africa and alleviate said the statement.
energy poverty in the region. With respect to local and regional gas uti-
“With Europe urgently seeking alternative gas lisation, the meeting discussed the role of the
supplies to ease the reliance on Russian energy 865-km Republic of Mozambique Pipeline Co.
and over 600mn people currently living without (ROMPCO) pipeline, which connects the Pande
access to electricity in Africa, Mozambique’s gas and Temane gas fields in southern Mozambique
could help meet demand, both regionally and to Secunda, South Africa. With South Africa
internationally,” said the statement. “During looking to rapidly expand the utilisation of nat-
the meeting, the minister emphasised this very ural gas in an effort to diversify its energy mix
point, making a strong case for gas monetisation away from coal, Mozambique’s resources will
and domestic utilisation above all else.” prove critical, it said.
Mozambique has an estimated 180 trillion “Accordingly,” said the chamber, “fast-track-
cubic feet (5.1 trillion cubic metres) of recovera- ing project developments in Cabo Delgado
ble gas. Some of this gas is in smaller onshore and will not only improve domestic utilisation and
offshore fields in the southern part of the coun- energy access but regional, with the expansion
try, but most of it lies offshore in the Rovuma of the ROMPCO pipeline a key driver of these
basin. This basin is home to several huge fields objectives.”
that have been assigned to international oil Although IOCs will drive larger-scale devel-
companies (IOCs) such as ExxonMobil (US), opments, local companies and workers must
TotalEnergies (France) and Eni (Italy) together have a role to play in the gas value chain as well,
with their partners. it added. This, said the chamber will promote
Most of the output from these sites, which inclusivity and equal opportunities. Accordingly,
lie off the coast of the northern Cabo Delgado the AEC pledged to support Mozambique in its
province, will be exported to Europe and Asia. efforts to ramp up the domestic market, ensuring
However, a portion of the production will be uti- mutually beneficial economic growth for years
lised locally. to come.
Meanwhile, Mozambique has launched a “As the continent moves forward with natural
sixth hydrocarbon licensing round that includes gas maximisation and monetisation, Mozam-
five sites in the Rovuma basin. The aforemen- bique cannot be left behind, but rather, should
tioned IOCs, along with several state-owned take a leading role in positioning Africa as a
Chinese companies such as China National competitive gas economy,” said Ayuk. “It is criti-
Offshore Oil Corp. (CNOOC), Sinopec and cal, therefore, that the government and all of the
PetroChina International, are among those that country’s players get the large-scale projects back
prequalified to bid in April 2022. on track. The AEC will be working closely with
Plans for developing offshore gas reserves do H.E. Zacarias as he works to grow the sector. The
face some obstacles. An Islamist insurgency in minister is committed to securing and encourag-
the north has already disrupted the 13mn tonne ing more investment in the country and he wants
per year (tpy) Mozambique LNG project, led by to be a partner for current players, helping them
TotalEnergies, and the 15mn tpy Rovuma LNG grow in Mozambique.”
P6 www. NEWSBASE .com Week 19 13•May•2022
