Page 11 - GLNG Week 01 2021
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GLNG                                            AFRICA                                                GLNG


       Total asks some staff to vacate Mozambique




       LNG site on safety concerns




        PROJECTS &       FRANCE’S Total is reported to have asked  made threats that they may target it in the future.
        COMPANIES        some of the staff working on the construction   In a separate Bloomberg report from Jan-
                         of Mozambique LNG to vacate the site on secu-  uary 1, the news service cited Total as saying it
                         rity concerns. This comes as attacks by Islamist  had “temporarily reduced its workforce on site
                         militants in the region have been taking place  in response to the prevailing environment”. The
                         increasingly closer to the site of the LNG termi-  company added that the situation was being
                         nal in Mozambique’s northern Cabo Delgado  reviewed continuously.
                         Province.                              Total also told Bloomberg that the coronavi-
                           Citing sources familiar with the matter,  rus (COVID-19) pandemic had further weighed
                         Bloomberg reported on January 2 that fighters  on the decision to reduce personnel at the
                         from a group aligned with Islamic State had  Mozambique LNG site. Indeed, Mozambique
                         attacked the nearby village of Quitunda. This  LNG was the site of the country’s first reported
                         is where Total is relocating communities from  COVID-19 cases in April 2020. According to
                         other parts of the concession as it builds Mozam-  local media, a new outbreak was detected at the
                         bique LNG’s export facilities and other infra-  project in December.
                         structure, according to the sources. Quitunda is   The attacks significantly heighten the risk
                         located less than 1 km (0.62 miles) from the air-  associated with the $20bn Mozambique LNG
                         strip the company built within its construction  project, which represents Africa’s largest private
                         camp’s perimeter fence.              investment. However, work continues for now,
                           The attack, which was repelled by Mozam-  and in late December, South Korea’s Daewoo
                         bican government forces, was the first within  Engineering & Construction won a fabrication
                         Total’s concession area and followed another  contract for certain components of the pro-
                         attack on a town less than 5 km (3 miles) from  ject’s two liquefaction trains, worth KRW500bn
                         the construction camp earlier that week. The  ($459mn). Daewoo said it would be tasked with
                         LNG terminal site itself is heavily guarded and  the construction of components such as steel
                         has not yet been attacked, but militants have  frames, machinery, piping and electricity.™



       Drilling resumes at



       Mozambique’s Coral FLNG





        PROJECTS &       THE developers of the $7bn Coral floating LNG   Eni operates Coral FLNG on behalf of
        COMPANIES        (FLNG) project off Mozambique have resumed  its MRZ partners, which besides ExxonMo-
                         drilling, the East African country’s regulator has  bil include China National Petroleum Corp.
                         said, after an eight-month break because of coro-  (CNPC), Portugal’s Galp, South Korea’s KOGAS
                         navirus (COVID-19) restrictions.     and Mozambique’s national oil company (NOC)
                           The Instituto Nacional de Petroleo (INP) said  ENH. The partners took a final investment deci-
                         the authorities had been informed by Mozam-  sion (FID) on the plan in 2017.
                         bique Rovuma Venture (MRZ), a consortium led   ExxonMobil is also leading the 15.2mn tpy
                         by ExxonMobil and Italy’s Eni, that the Saipem  Rovuma LNG project which will also draw from
                         12000 drillship had arrived in Pemba on January  Area 4’s 2.4 trillion cubic metre resource base.
                         5. Drilling had started in September 2019 but was  But the US major has held off on taking an FID
                         halted in April last year after restrictions were put  in light of the pandemic’s impact on the global
                         in place to prevent the pandemic’s spread.  gas market.
                           Coral FLNG, situated in the offshore Area 4   France’s Total and its partners are targeting a
                         concession, will be the first among several LNG  2024 launch for their 13.1mn tpy Mozambique
                         projects planned in northern Mozambique to  LNG project, which will use gas from the Area
                         start production. INP noted that the venture was  1 concession neighbouring Area 4. But there
                         still on track for first gas in 2022.  are rising security concerns about the project
                           The plant will produce 3.4mn tonnes per year  following a series of attacks by Islamists. Total is
                         (tpy) of LNG. Eni reported in November that the  reported to have evacuated some of its workers
                         topsides for the FLNG had been completed. Its  at the site this month after a strike by militants
                         hull was finished in January 2020.   within the project concession area.™

       Week 01   08•January•2020                www. NEWSBASE .com                                             P11
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