Italian energy giant Eni said on Wednesday that the Mozambique government had approved the plan of development for the company’s Coral FLNG project.
The approval relates to the first phase of development of 5 trillion cubic feet of gas in the Coral discovery, located in the Area 4 permit.
The giant discovery, located approximately 80 kilometers offshore of the Palma bay in the northern province of Cabo Delgado, is estimated to contain around 16 trillion cubic feet (TCF) of gas in place.
The plan of development, the very first one to be approved in the Rovuma Basin, foresees the drilling and completion of 6 subsea wells and the construction and installation of a floating LNG facility, with the capacity of around 3.4 MTPA, Eni said in a statement.
“ Today’s approval of the Coral plan of development is a historical milestone for the development of our discovery of 85 TCF of gas in the Rovuma Basin. It is a fundamental step to progress toward the final investment decision of our project which envisages the installation of the first newly built floating LNG facility in Africa and one of the first in the world, “ Eni’s CEO, Claudio Descalzi said.
Eni is the operator of Area 4 with a 50% indirect interest, owned through Eni East Africa (EEA), which holds a 70% stake of Area 4.
The other partners are Galp Energia, Kogas and Empresa Nacional de Hidrocarbonetos (ENH) with a 10% stake each. CNPC owns a 20% indirect interest in Area 4 through Eni East Africa.
LNG World News Staff