The construction works for the natural gas production infrastructures in Inhassoro and Temane fields in Inhambane province will start in July.
The guarantee was recently given by the Prime Minister, Carlos Agostinho do Rosário, speaking in the Assembly of the Republic, during the session of questions to the Government. These data come after the recent announcement of the Final Investment Decision of the development project of the additional natural gas reservoirs of Inhassoro and Temane fields.
According to Carlos Agostinho do Rosário, the infrastructure construction will enable the production of 23 million giga joule of natural gas per year, which will be used for the production of 30 thousand tons of LPG -Liquified Petroleum Gas- in the same period. This will be the first unit dedicated to the production of cooking gas in the country.
According to the Prime Minister, in the construction phase alone, this project will employ 3,000 Mozambicans directly and thousands more indirectly.
The Prime Minister also said that, in the scope of hydrocarbon exploration, the construction of the floating platform for natural gas liquefaction of the Coral Sul project, in the Rovuma Basin, in Cabo Delgado province, is expected to be concluded this year.
“The conclusion of the construction of this platform and its tow from South Korea to Mozambique still this year is a premise for the country to start producing and exporting liquefied natural gas as of 2022,” he said.
It should be noted that, the Coral South FLNG project is being developed by the concessionaires of Area 4 of the Rovuma Basin, under the leadership of the operator MRV, S.p.A., which, as part of its activities described in the concession contract for Petroleum Exploration and Production, discovered 77 trillion cubic feet (Tcf) of natural gas.
To add value to this resource, the said concessionaires submitted to the Government the development plan, approved in February 2016, which describes the project to produce natural gas and liquefy it from a floating platform.
The floating natural gas liquefaction unit, to be installed offshore, will have a capacity to produce 3.4 million tons per year (mtpa) of natural gas.
The investment for this project is seven billion dollars, and it is expected to generate direct profits in the order of 39.1 billion dollars, of which about 19.3 billion dollars will revert to the State during the 25 years of the project’s useful life, an amount that will come from taxes (IPP and IRPC), bonuses, fees and from the sharing of the oil-profit.
The concessionaires for Area 4 of the Rovuma Basin include Mozambique Rovuma Venture (MRV) S.p.A. which is a joint venture co-owned by Eni, ExxonMobil and CNODC, with a 70% participating interest, Empresa Nacional de Hidrocarbonetos E.P. (ENH) with 10%, Galp Energia Rovuma B.V. with 10% and KOGAS Mozambique Ltd. also with 10%.
