HOUSTON – Anadarko Petroleum (NYSE: APC) has selected a consortium for the initial development of an LNG complex onshore Mozambique to process production from the company’s deepwater gas fields in Offshore Area 1 in the Rovuma basin.
The winners, following a front-end engineering and design competition, are CB&I, Chiyoda Corp., and Saipem (CCS JV).
Anadarko Chairman Al Walker said the company and its co-venturers have to date secured more than 8 million metric tons (8.8 million tons) per year in non-binding long-term off-take agreements, which are now progressing toward binding sales and purchase agreements.
They have additionally obtained letters of intent from lenders for project financing and are working with Mozambique’s new government to keep the project moving forward. They expect to submit a plan of development in the next few months.
Scope of work for the onshore LNG park includes two LNG trains, each with a capacity of 6 MMTPA (6.6 MM tons/yr) – an increase of 1 MMTPA (1.1Mt/yr) per train over the original plan); two LNG storage tanks, each with a capacity of 180,000 cu m (6.35 MMcf); condensate storage, a multi-berth marine jetty and associated utilities and infrastructure.
The selection of CCS JV remains subject to negotiation and entry into a definitive agreement prior to the partners taking a final investment decision.