Energy construction and engineering company McDermott has announced that its consortium with Saipem and China Petroleum Engineering and Construction Corporation (CPECC) has been awarded a front-end engineering design (FEED) contract for the Rovuma liquified natural gas (LNG) Phase 1 Project in Mozambique.
The project covers the liquefaction and export of natural gas extracted from the Offshore Area 4 fields off the Afungi Peninsula in the north-east of Mozambique.
The project is designed to feature 12 fully modularised LNG trains, each with a capacity of 1.5 million tonnes per annum (mtpa) and a total capacity of 18mtpa.
The FEED contract includes the modular design of a greenfield LNG production facility in Afungi, in the far south of the country, all associated gas pre-treatment units, and the utilities and offsite systems to support the LNG production.
In addition to producing LNG for international markets, Rovuma LNG will supply Mozambique with up to 17,000 tonnes of LPG per year with the aim of improving access to energy for local communities.
It is managed by a joint venture between ExxonMobil Development Africa, Eni and China National Petroleum Corporation (CNPC) which collectively hold a 70% stake. The remaining interest is evenly divided among Galp, KOGAS and Empresa Nacional de Hidrocarbonetos, each holding a 10% share.
McDermott Low Carbon Solutions, senior vice-president Rob Shaul, said: "LNG helps shape an entirely new era of energy solutions and can continue [Mozambique’s] industrial, social and economic development."
Mozambique is facing a gas supply shortage due to the gradual depletion of Sasol-operated onshore gas fields within the next few years.
The country’s LNG sector has been disrupted by violent insurgencies in Afungi, forcing the closure of TotalEnergies’ major LNG project in 2021. The company is expected to reopen its operations before 2025.
Offshore Technology’s parent company, GlobalData, recently found that Mozambique is the foremost country in Africa for LNG capacity additions through new and existing terminals by 2028. Globally, the country ranks fifth, preceded by the US, Russia, Canada and Qatar.
