Apr 24, 2024 (MENAFN via COMTEX) --
(MENAFN - The Rio Times) ExxonMobil, along with industry leaders Eni and CNPC, is propelling forward the Rovuma LNG project in Mozambique's offshore Rovuma Basin.
This pivotal venture capitalizes on one of the largest gas reserves in the world, located in the Area 4 block. Estimates suggest it holds approximately 85 trillion cubic feet of gas.
Initiated in 2019, the project strategically aims to bolster Mozambique's LNG output, with plans to produce up to 18 million metric tons per year.
Situated on the Afungi Peninsula in Cabo Delgado, the Rovuma LNG project involves constructing two natural gas liquefaction trains.
In addition, these are designed to have a combined capacity of 15.2 million metric tons annually.
Despite facing delays from the COVID-19 pandemic and local security challenges, the project is moving towards operational readiness.
Additionally, there is a significant push towards achieving a final investment decision by 2025.
The development has successfully secured crucial offtake commitments from associated buyers.
However, this ensures there is a market ready for the LNG produced, which is critical for the project's financial stability.
These commitments are a fundamental step in securing the necessary project financing to move forward.
Mozambique's LNG export ambitions, exemplified by the Rovuma LNG project, showcase the energy sector's significant economic potential.
The Rovuma LNG project aims to elevate Mozambique 's global energy standing and stimulate significant regional economic growth and job creation.
In addition, this project exemplifies how strategic international partnerships and investment in natural resources can catalyze economic development on a large scale.
The other two larger projects, led by TotalEnergies and Exxon /Eni, have liquefaction plants planned for onshore on the Afungi peninsula.
However, they await final decisions by the oil companies to proceed.
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COMTEX_451354972/2604/2024-04-24T14:47:36
