Mozambique: HCB approves distribution of over €100 million in dividends
Government reacts: Total continues as Mozambique LNG project concessionaire and operator – Notícias
2:25 CAT | 26 Apr 2021
Image: O País
Total remains a concessionaire and operator of the Rovuma Basin Offshore Area 1 in Afungi, Cabo Delgado province, “with all the rights, duties and obligations resulting from the Concession Contract for research and production in Area 1, signed with the Government in 2006″ the Ministry of Mineral Resources and Energy, through the National Petroleum Institute (INP) clarified in Maputo today (26-04).
Also read: JUST IN: Total declares force majeure on Mozambique LNG project – Press Release
In a statement to which Noticias Online had access this Monday, the government reiterates that the Mozambican authorities are continuing to work towards the restoration of ‘normal security conditions’, ensuring that enterprise activities can be resumed “as soon as possible”.
The government’s position emerges on the same day that Total, from its offices in Paris, France, resorted to force majeure to justify to its partners the withdrawal of all its seconded employees stationed in Afungi.
The INP explained that the measure was also aimed at “mitigating the negative effects resulting from the application of contracts and costs in goods and services that cannot be provided or used during this period when activities are suspended, a fact that would have negative effects on the overall cost of the project”.
“With the temporary interruption of operations, Total will not be able, during this time, to comply with the contractually assumed obligations, and may also suspend or terminate more contracts with other providers of goods and/or services, depending on the duration of the interruption. We confirm that all field activities related to the construction of the Golfinho/Atum project infrastructures are temporarily suspended, and will be resumed as soon as a security situation ensuring the physical integrity and safety of the workers as well as the protection of infrastructure is restored,” the INP document states.
The Golfinho/Tuna liquefied natural gas (LNG) project is to be implemented using an onshore platform costing US$20 billion, enabling the exploitation of 13.12 Tcf of recoverable natural gas over a period of 25 years, and generating direct profits in the order of US$60.8 billion, of which, over 25 years, approximately US$30.9 billion will benefit the state.
It also foresees the provision of US$2.5 billion to cover expenses related to the contracting of goods and services to be provided by companies.
The Final Investment Decision for the Mozambique LNG project was announced on June 18, 2019, and the project is expected to go into production in 2024.
Total E&P Mozambique Area 1 Limited is the operator of Area 1, with a 26.5% stake, in partnership with ENH Rovuma Area 1, SA (15%), Mitsui E&P Mozambique Area 1 Limited (20%), ONGC Videsh Rovuma Limited (10%), Beas Rovuma Energy Mozambique Limited (10%), BPRL Ventures Mozambique BV (10%) and PTTEP Mozambique Area 1 Limited (8.5%).
O Ministério dos Recursos Minerais e Energia, através do Instituto Nacional de Petróleo, informa que a Total, devido a…
Publicado por Sala da Paz em Segunda-feira, 26 de abril de 2021
Source: Noticias
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