Italy’s energy giant Eni has refuted the conclusions drawn by Exmar, a Belgian shipping company, concerning the latter’s bonus expectations based on the production data for a floating liquefied natural gas (FLNG) unit the firm sold to the Italian player. This case has the potential to lead to an official dispute between the duo unless they manage to sort it out.
The rebuttal follows Exmar’s disclosure about the performance of the FLNG Tango , which reportedly exceeded production expectations and guaranteed levels while working on the Italian player’s Congo LNG project off the coast of Congo, Africa.
Last week, the Belgian player said that the agreement for the sale and purchase of the FLNG came with a price adjustment clause, including a negative correction of $78 million and a bonus of a maximum of $44 million, depending on the unit’s performance.
The company also concluded it was entitled to a bonus based on the production data but confirmed that the bonus amount remained unknown as it was yet to be agreed. In a statement sent to Offshore Energy , Eni provided its position on the Congo LNG project, which differs from Exmar’s stance on the matter.
“With reference to the Congo FLNG project and to Exmar’s press release dated 5 February 2025, Eni does not agree with Exmar’s statement regarding its alleged accrued entitlement to a positive price adjustment under the relevant contract, as the conditions for such adjustment are yet to be assessed pursuant to such contract,” highlighted the Italian giant.
Exmar signed an agreement to sell the FLNG to the Italian giant in 2022. A year after a final investment decision was taken, the FLNG Tango started its deliveries of LNG to international markets. With 0.6 million tons per year (mtpa) capacity, the FLNG enabled Congo’s first natural gas liquefaction project to put the African country on the LNG exporters’ list.
This project is designed to exploit the gas resources of the Marine XII project with two FLNG units stationed at the Nenè and Litchendjili fields. The second FLNG unit, Nguya , currently under construction , is scheduled to be in operation by the end of the year, with a capacity of 2.4 mtpa, enabling the Congo LNG project to reach an overall LNG production capacity of 3 million tons per year or approximately 4.5 billion cubic meters (bcm) per year from 2025.
Some of the deals that were awarded in relation to Congo LNG last year include Wison New Energies ’ transport and installation contract to GEOCEAN, Eni’s selection of ABL for marine warranty survey services (MWS) for the second phase of the project, and Kotug International ’s assignment f or marine services.