Image: The Mozambique Resources Post
Development plans spearheaded by U.S. oil giant Exxon Mobil for the Rovuma LNG project in Mozambique were approved by the country’s government last Tuesday.
Producing and marketing natural gas from three deepwater reservoirs, located in the offshore Area 4 block, the Rovuma LNG project will see the design and construction of two liquefaction trains that will manufacture over 15 million tons per year of Liquified Natural Gas (LNG). According to Exxon Mobil, sales and purchase agreements have been submitted for approval for total capacities of the two plants, and a final investment decision is expected to be made by the company later this year.
Furthermore, the Rovuma LNG project is projected to produce up to 17,000 tons of liquified petroleum gas (LPG) per year in Mozambique, which will represent approximately 50 percent of the country’s total LPG import.
“The expected production from the Area 4 block will generate substantial benefits to Mozambique and the Area 4 partners,” said Eni Chief Development Operations & Technology Officer Alessandro Puliti. “The development plan details our commitment to train, build and employ a local workforce and make gas available in support of Mozambique’s industrialization.”
Following a $2.8 billion deal with Italian multinational Eni, Exxon acquired half of Eni’s stake in the project two years ago. Area 4 is currently operated by Mozambique Rovuma Venture S.p.A., a joint venture of Exxon Mobil, Eni and China National Petroleum Corp., which holds a 70 percent stake in the block’s exploration and production concession contract.