Far East groups secure long-term Mozambique LNG supplies

Mozambique LNG1, the jointly owned sales entity of the Mozambique Area 1 co-venturers, has signed a sale and purchase agreement with Japan’s JERA and CPC Corp., Taiwan.

May 13th, 2019

Offshore staff

HOUSTONMozambique LNG1, the jointly owned sales entity of the Mozambique Area 1 co-venturers, has signed a sale and purchase agreement (SPA) with Japan’s JERA and CPC Corp., Taiwan (CPC).

According to project operator Anadarko Petroleum, the agreement involves delivery of 1.6 MM metric tons/yr (1.76 MM tons) of LNG from gas produced from Offshore Area 1 over a base term of 17 years from the commercial start date.

Mitch Ingram, Anadarko’s executive vice president, International, Deepwater & Exploration, said: “We are excited to take the next step with the expected announcement of a final investment decision FID for the Mozambique LNG project on June 18, as we remain on track to complete the project financing process and secure final approvals.

“This new SPA brings our total long-term agreements to 11.1 [MMt/yr]…”

Mozambique’s first onshore LNG facility will comprise two initial LNG trains with a total nameplate capacity of 12.88 MM metric tons/yr (14.2 MM tons) to support development of the Golfinho/Atum field in Offshore Area 1.  

Last week, Anadarko accepted Occidental’s takeover bid. Occidental in turn has agreed to sell all Anadarko’s Africa E&P interests to Total.

05/13/2019

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