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    Equinor taking write-down on Tanzania gas project

    Jan. 29, 2021
    Equinor will write down the book value of its Tanzania LNG project by $982 million.
    (Courtesy Equinor)
    Equinor Tanzania 6014337a46a6e

    Offshore staff

    STAVANGER, Norway – Equinor will write down the book value of its Tanzania LNG project (TLNG) by $982 million.

    After signing a production-sharing agreement with the Tanzania Petroleum Development Corporation (TPDC) in 2007, the company, as operator of offshore block 2, made nine gas discoveries with estimated in-place gas volumes of 20 tcf.

    ExxonMobil is the other partner.

    Over the past few years the partners have been working on a commercial framework for TLNG, but the expected breakeven price remains well above Equinor’s portfolio average.

    The company plans to continue its engagement with Tanzania’s government on a commercial, fiscal and legal framework that may provide a viable business case for TLNG in future.

    01/29/2021