Asia may be the destination of natural gas discovered in Mozambique

23 July 2012

Asia may be the main destination of the natural gas found in the Rovuma basin, in Mozambique’s Cabo Delgado province, whose reserves of 100 trillion cubic feet are expected to start being explored in 2018, Mozambique’s Mining resources Minister said recently in Nampula.

Cited by daily newspaper Notícias, Minister Esperança Bias also said that whilst Asian markets were offering US$13 per kilojoule of gas Europe offered just US$8, and that these prices would remain unchanged given the high demand for natural gas in Asian countries.

The minister said that countries such as South Korea, whose company Kogas is one of the world’s largest buyers of natural gas, plan to make deals with Mozambique’s government in order to be involved in natural gas exploration in the East African country.

Kogas is involved in the gas surveying underway in the Rovuma basin as part of a partnership with Italian multinational ENI, which is also the largest distributor of natural gas in Europe.

Available figures show that between January and May of this year the companies involved in prospecting for natural gas in the Rovuma basin have discovered over 100 trillion cubic feet of gas.

Along with ENI and US company Anadarko Petroleum, other multinational companies such as Malaysia’s Petronas and Norway’s Statoil also operate in the Rovuma basin.

Petronas and Statoil are currently preparing to drill wells over the next few months, which may lead to new natural gas discoveries in the Rovuma basin. (macauhub)