The final investment decision for the Area 4 block in northern Mozambique is expected to be made in 2019 as partners involved in the project have committed to buying the natural gas to be extracted, reported Italian group ENI.
The block, in the northern province of Cabo Delgado, has as partners the Italian groups ENI, US group ExxonMobil and the China National Petroleum Corporation (CNPC), which jointly control 70%, in addition to state-owned Empresa Nacional de Hidrocarbonetos (ENH), South Korea’s Kogas and Galp Energia of Portugal, with stakes of 10%.
The commitment is subject to the conclusion of fully signed agreements over the next few weeks, and approval by the Government of Mozambique, according to a statement from ENI, posted on its website.
The LNG marketing team has been working at a rapid pace to reach this important milestone, a tremendous achievement that was made possible by the involvement of Area 4 partners and the support of the Mozambican government, said Peter Clarke, president of the ExxonMobil Gas and Power Marketing Company.
Massimo Mantovani, ENI’s gas marketing director said these commitments are an important step in the Rovuma project and form a solid basis for securing project funding. This achievement highlights the strength of the partnership and commitment to the development of Mozambique’s natural resources, he added.
The Mozambique Rovuma Venture (MRV) consortium last July submitted to the Mozambican government the development plan for the first phase of the Rovuma LNG project, which will produce, liquefy and sell natural gas from the Mamba fields located in the Area 4 block.
ExxonMobil will build and operate the natural gas liquefaction unit and related facilities on behalf of the Area 4 consortium, while ENI will lead the construction and operation of upstream facilities. (macauhub)