ENI to invest US$10 billion in Rovuma natural gas – Descalzi in Mozambique

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ENI to invest US$10 billion in Rovuma natural gas – Descalzi in Mozambique

2:59 CAT | 22 Nov 2016

File photo / Claudio Descalzi was received by Prime Minister Carlos Agostinho do Rosario yesterday in Maputo

Eni’s Board of Directors is committed to investing US$10 billion within the next few years in the first phase of the natural gas exploration project in Area 4 of the Rovuma basin in Cabo Delgado, and last week announced the approval of the Coral Sur Project’s Deepwater Investment Plan, which may be the largest development in the natural gas sector in Mozambique.

Yesterday, a delegation of the Italian company led by ENI CEO Claudio Descalzi held a meeting with the prime minister, Carlos Agostinho do Rosário, who he personally informed of the approval of the plan and the amounts involved in the first phase of the project.

Speaking to journalists at the end of the meeting, Descalzi said that his company was ready to start work, but he was still awaiting the approval of the plan by other partners in the project. He recalled that substantial investments made by ENI in the last five to six years had culminated in the discovery of considerable amounts of natural gas in the Rovuma basin.

“We took the final investment decision on a project where we hold a 50 percent stake. That means that all the conditions for the project to move forward are present, but we are waiting for our partners, namely Kogas, Galp and CNPC,” Descalzi said.

The deepwater gas exploration project involves the construction of six underwater wells connected to a floating production facility with an annual liquefaction capacity of over 3.3 million tons of liquefied natural gas, equivalent to approximately 5 billion cubic meters.

The project seals ENI’s technological leadership in the development of Area 4 fields containing about 450 billion cubic meters of gas, and in October ENI and its Area 4 partners signed an agreement with BP for the sale of the entire volume of liquid natural gas produced in Coral Sur over the next 20 years.

Source: Noticias