Mozambique LNG to receive US$15-billion financing

Total SA’s 12.9-million tonne/year (tpy) Mozambique LNG project expects to receive US$15-billion (R267-bn) of financing from a consortium led by South Africa-based Rand Merchant Bank (RMB).

The liquefaction plant is expected to enter service in 2024.

Total acquired Anadarko Petroleum Corporation’s 26.5% operated interest in Mozambique LNG from Occidental Petroleum Corporation in 2019.

RMB was a co-funder and added to initial commitments for Eni SPA’s 3.4-million tpy Coral South floating LNG (FLNG) project offshore Mozambique.

Coral South was the first project approved by Eni and its Area 4 partners (China National Petroleum Corporation, Galp, Korea Gas, Mozambican-state ENH, and ExxonMobil) for developing Rovuma basin gas off Mozambique’s coast.

It reached final investment decision in June 2017, with 100% of output sold to BP under a 20-year contract.

Construction of main components began in 2018, with hull assembly and drilling and completion of six subsea wells following in 2019.

The hull is expected to be launched in 2020, in line with planned production start-up of 2022.

Source: Oil & Gas Journal