Construction to Begin on Liquefaction Plant
French energy major Total has completed its acquisition of hydrocarbon explorer Anadarko’s stake in Mozambique LNG.
The deal will see Total takeover all of the firm’s oil and gas assets in Africa, for US$8.8 billion, marking a positive outlook for LNG operations in the continent.
“Mozambique LNG is one-of-a-kind asset that perfectly fits with our strategy and expands our position in liquefied natural gas. As the new operator, we are fully committed to the Mozambique LNG project and we will bring the best of our human, technical, marketing and financial capacities to further strengthen its execution,” said Patrick Pouyanné, CEO of Total.
Second-largest Private Global LNG Player
The deal cements Total’s position as the world's second-largest private global LNG player, with an overall portfolio of about 40 million tonnes per year by 2020. It also highlights the growing importance of the LNG sector for breakbulk operators as exploration and production ramp up.
“Total will of course work on the strong foundations established by the previous operator and its partners, in order to implement the project in the best interest of all those involved, including the government and the people of Mozambique,” Pouyanné said.
The firm estimates it has a worldwide market share of 10 percent, with 22 million tonnes of LNG sold in 2018, via its “solid and diversified positions” across the LNG value chain.
Two-train Liquefaction Plant
The country’s first onshore LNG development, Mozambique LNG comprises the development of the Golfinho and Atum fields and is largely derisked since almost 90 percent of production is already sold through long-term contracts with key LNG buyers in Asia and in Europe.
Construction at the site will include a two-train liquefaction plant with a capacity of 12.9 million tonnes per year that is expected to require major breakbulk activity. The Final Investment Decision was announced in June with first production scheduled for 2024.
Headquartered in Courbevoie, France, Total is a multinational integrated oil and gas company and one of the seven "Supermajor" oil companies in the world.
The deal will see Total takeover all of the firm’s oil and gas assets in Africa, for US$8.8 billion, marking a positive outlook for LNG operations in the continent.
“Mozambique LNG is one-of-a-kind asset that perfectly fits with our strategy and expands our position in liquefied natural gas. As the new operator, we are fully committed to the Mozambique LNG project and we will bring the best of our human, technical, marketing and financial capacities to further strengthen its execution,” said Patrick Pouyanné, CEO of Total.
Second-largest Private Global LNG Player
The deal cements Total’s position as the world's second-largest private global LNG player, with an overall portfolio of about 40 million tonnes per year by 2020. It also highlights the growing importance of the LNG sector for breakbulk operators as exploration and production ramp up.
“Total will of course work on the strong foundations established by the previous operator and its partners, in order to implement the project in the best interest of all those involved, including the government and the people of Mozambique,” Pouyanné said.
The firm estimates it has a worldwide market share of 10 percent, with 22 million tonnes of LNG sold in 2018, via its “solid and diversified positions” across the LNG value chain.
Two-train Liquefaction Plant
The country’s first onshore LNG development, Mozambique LNG comprises the development of the Golfinho and Atum fields and is largely derisked since almost 90 percent of production is already sold through long-term contracts with key LNG buyers in Asia and in Europe.
Construction at the site will include a two-train liquefaction plant with a capacity of 12.9 million tonnes per year that is expected to require major breakbulk activity. The Final Investment Decision was announced in June with first production scheduled for 2024.
Headquartered in Courbevoie, France, Total is a multinational integrated oil and gas company and one of the seven "Supermajor" oil companies in the world.
