The TOTAL operated Mozambique LNG (MLNG) project, to monetise the reserves in the country’s deepwater Area 1, is making progress in spite of COVD-19 challenges.
“It’s now public domain that the financing was more or less been agreed and finalised and signing hopefully it will happen very soon”, says Paul Eardley- Taylor, Head of Oil & Gas Southern Africa, Standard Bank.
Eardley-Taylor, who is perhaps the most optimistic public speaker about Mozambique’s gas prospects, says the country “really has a couple of three unique aspects to it in terms of LNG, which is why volatility really doesn’t affect it. The first one is the obvious one, it’s bang in the middle of the map, if you use the Mercator projections, ideal for Asia or Europe. Secondly you have a large glob of gas in a single location, round about 150Tcf. Thirdly Mozambique is non-aligned and really contributes to security supply in other jurisdictions”.
The two train, 13Million Tonne Per Annum MLNG Mozambique is one of the two large sale LNG projects under development in Africa’s southeasternmost edge. Final Investment Decision for the project was taken in mid 2019.
FID for The ExxonMobil led Rovuma LNG, which is to monetise the Area 4 reserves, was postponed indefinitely last April.
“As we generally understand, (the 3.3MMTPA) Coral FLNG is more or less on time in terms of completion, largely unaffected by COVID-19 in South Korea and Singapore” so we expect that by third quarter or thereabout of 2022, it comes online. MLNG I won’t say much, Rovuma LNG has been talked about by ExxonMobil in their press release on the 7th of April.
Source: Africa Oil + Gas Report