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Anadarko finalises agreements with government of Mozambique

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LNG Industry,

Anadarko Petroleum Corp. has announced that it has finalised two agreements with the government of Mozambique (together known as the marine concessions), enabling it to design, construct and operate the marine facilities for an LNG project in northern Mozambique.

This follows the publication of the Mozambican Government Decrees approving said agreements. Mitch Ingram, Anadarko Executive Vice President, Global LNG, said: “This is a key milestone on the path to a final investment decision (FID) for our initial two-train LNG project.

“It marks the completion of the core components of the Legal and Contractual Framework with the Government. We will now look ahead with our plans to begin resettlement, which will enable the construction of the LNG plant. In addition, we continue to make good progress with our efforts to secure long-term LNG sales and purchase agreements (SPAs) with premier buyers, and we will intensify our work to put in place the necessary financing for the project. We expect to take FID once the SPAs and financing are in place.”

Anadarko is currently developing the country’s first onshore LNG plant. The facility consists of two initial LNG trains, with a total capacity of 12 million tpy, and will support the Golfinho/Atum field located entirely within Offshore Area 1.

Offshore Area 1 is operated by Anadarkro with a 26.5% working interest. Co-venturers include Empresa Nacional de Hidrocarbonetos E.P. (ENH) (15%), Mitsui E&P Mozambique Area1 Ltd (20%), ONGC Videsh Ltd (16%), Bharat PetroResources Ltd (10%), PTT Exploration & Production Plc (8.5%), and Oil India Ltd (4%).

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