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Eni receives approval for Mozambique FLNG project

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LNG Industry,

Eni has received approval from the Government of Mozambique’s Council of Ministers for its plan of development for the first 5 trillion ft3 of gas from the Coral discovery. The discovery, which was made in May 2012, has approximately 16 trillion ft3 of gas, and is located in the Area 4 permit, at 2000 m deep and approximately 80 km offshore of the Palma bay, Mozambique.

Eni’s plan of development involves the construction and installation of a floating LNG (FLNG) unit, and the drilling of six subsea wells. The FLNG unit will have a capacity of approximately 3.4 million tpy.

In September 2015, the project became the first in the Rovuma Basin to be granted an environmental license. This process involved local communities, as well as national authorities, and was the result of an environmental and social impact assessment study.

Claudio Descalzi, the CEO of Eni, said: “Today’s approval of the coral plan of development is a historical milestone for the development of our discovery of 85 trillion ft3 of gas in the Rovuma Basin. It is a fundamental step to progress toward the Final Investment Decision (FID) of our project, which envisages the installation of the first newly built FLNG facility in Africa and one of the first in the world. We are proud of Eni’s partnership with Mozambique, a key country in the company’s strategies.”

Alongside its partners, Eni is currently also pursuing the development of gas in the Mamba discovery. In December 2015, it allowed the achievement of a unitisation agreement with Area 1.

Edited from press release by David Rowlands

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