Anadarko Petroleum negotiates sale of natural gas with Indian companies

27 February 2018

US group Anadarko Petroleum is negotiating with nine companies in India for the sale of natural gas to be extracted in the Rovuma Basin Area 1 block, in northern Mozambique in the future, according to sources cited by the international press.

The group, through the Mozambican LNG1 Company, which groups the interests of the companies involved in natural gas exploration in the block, is negotiating with Petronet LNG, Oil and Natural Gas Corp., Hindustan Petroleum Corp. Ltd, Bharat Petroleum Corp. Ltd and Gujarat State Petroleum Corp, among others.

One of the sources said that the sale process is about to be completed, following which a final investment decision will be made and the details related to obtaining financing to start the extraction of natural gas will be finalised, expected to begin in 2022 or 2023.

The Mozambique LNG1 Company signed a 15-year contract on 20 February to provide 1.2 million tons of liquefied natural gas to French power company EDF every year.

The consortium that explores the Area 1 block includes Anadarko Moçambique Area 1, Ltd, a wholly-owned subsidiary of the Anadarko Petroleum group, with a 26.5% stake, ENH Rovuma Area Um, a subsidiary of state-owned Empresa Nacional de Hidrocarbonetos, with 15%, Mitsui E&P Mozambique Area1 Ltd. (20%), ONGC Videsh Ltd. (10%), Beas Rovuma Energy Mozambique Limited (10%), BPRL Ventures Mozambique BV (10%), and PTTEP Mozambique Area 1 Limited (8.5%). (macauhub)