Anadarko appoints FEED contractor for Mozambique LNG project

May 20, 2015

Anadarko Petroleum Corporation has appointed a contractor for the initial development of an onshore liquefied natural gas (LNG) park in Mozambique, on behalf of its partners in Offshore Area 1.

Anadarko Petroleum Corporation has appointed a contractor for the initial development of an onshore liquefied natural gas (LNG) park in Mozambique, on behalf of its partners in Offshore Area 1.

The company said on Monday that it had signed a deal with CCS JV, a consortium consisting of CB&I, Chiyoda Corporation and Saipem, following a competitive FEED (front-end engineering and design) process.

The LNG park will include two LNG trains, each with capacity of 6 million tonnes per annum (MMTPA), and two LNG storage tanks, each with capacity of 180,000 cubic meters, as well as condensate storage, a multi-berth marine jetty and associated utilities and infrastructure.

Anadarko operates Offshore Area 1 with a 26.5 percent working interest. Its partners in the project include Empresa Nacional de Hidrocarbonetos E.P. (ENH) (15 percent), Mitsui E&P Mozambique Area1 Ltd. (20 percent), ONGC Videsh Ltd. (16 percent), Bharat PetroResources Ltd. (10 percent), PTT Exploration & Production Plc (8.5 percent) and Oil India Ltd. (4 percent).

"Selecting CCS JV for the development of the onshore Mozambique LNG park is a significant step toward reaching FID (Final Investment Decision) and demonstrates our continued commitment to advancing this important project toward first cargoes," commented Anadarko's chairman, president and CEO, Al Walker.

The project has now secured more than 8 MMTPA in non-binding, long-term off-take agreements, which are progressing toward binding sales and purchase agreements.

Walker said that Anadarko was looking forward to working with its Offshore Area 1 partners to submit a Plan of Development to the Mozambique government in the coming months.