Tuesday, June 18, 2024
HomeNewsFresh deals to materialize Mozambique’s LNG projects

Fresh deals to materialize Mozambique’s LNG projects

Some level of hope perhaps as the long-awaited development of Mozambique’s onshore LNG facility is now said to be getting closer to taking the FID, for Anadarko is reported to have announced its agreement with Tokyo Gas and Centrica LNG for a long term supply of LNG from the project.

The co-purchasing off-take agreement referred to as “HOA” calls for the delivered ex-ship supply of 2.6 million tonnes per annum (MTPA) from the start-up of production until the early 2040s, all things being equal.

Anadarko executive VP, International, Deepwater & Exploration Mitch Ingram was even quoted to have expressed confidence thus: “Tokyo Gas and Centrica have a strong global reputation in the industry, and we are delighted they have made this commitment to the Mozambique LNG project,”

“At 2.6 MTPA, this HOA represents a significant portion of the marketing off-take target we have set for FID, and it further reinforces our previous updates on the project, which have stated our focus now is on converting these non-binding commitments into fully termed Sale and Purchase Agreements. Importantly, this HOA brings together the Anadarko-led Mozambique LNG project and two additional prestigious customers, and it is closely aligned with the Japanese government’s desire for a competitively priced and flexible long-term supply of LNG to enhance the nation’s energy security.

Ingram was quoted to have added: “This off-take arrangement takes full advantage of Mozambique’s favorable central location, which enables Mozambique LNG to supply customers in both the European and Asian-Pacific markets.’ ‘The innovative co-purchasing arrangement provides flexibility to assist both customers in proactively managing demand fluctuations in their own home markets.”

The Anadarko-led Mozambique LNG project this report said would be Mozambique’s first onshore LNG development, initially consisting of two LNG trains with total nameplate capacity of 12.88 MTPA to support the development of the Golfinho/Atum fields in Offshore Area 1.



Please enter your comment!
Please enter your name here

Most Popular