Total orders eight LNG carriers for Mozambique project

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Total orders eight LNG carriers for Mozambique project

9:54 CAT | 24 Feb 2020

FILE: For illustration purposes only. [File photo: Baird Maritime]

The French oil company Total wants to have eight natural gas cargo ships built in South Korea to serve the Afungi production unit in northern Mozambique from 2024, said the economic portal Business Korea.

“French oil major Total recently signed letters of intent with Hyundai Heavy Industries and Samsung Heavy Industries with regard to eight 170,000-cubic-meter LNG carriers for the Anadarko LNG project in Mozambique,” the portal said.

“Orders are expected to be placed once Total completes shipowner selection in March, ” adds the same source, noting that “the total shipbuilding cost of the project is estimated at 3.4 trillion won,” about €2.6 billion.

The announcement reinforces the signs of progress of the project whose investment could reach €23 billion, despite the attacks by armed groups in northern Mozambique.

Another consortium led by Eni and Exxon Mobil is advancing with a project of similar size in Area 4 of the same ocean basin, sharing the industrial zone for liquefaction and export of gas, pending the official announcement of the final investment decision.

An Area 4 platform ship under construction in South Korea will be the precursor to the Rovuma basin from 2022 onwards.

Gas projects in Northern Mozambique are expected to place the country among the world’s leading exporters of LNG, catapulting the economy to grow by over 10% per year over the next decade.

Source: Lusa / Business Korea