Construction works on Area 1 natural gas project in Mozambique is due to begin next President of the Republic, Filipe Nyusi announced the report.
The Mozambican government and Area 1 block partners, led by the Anadarko Petroleum Corporation group, in Maputo signed the final investment decision for the liquefied natural gas project.
The President said he will lay the foundation stone for the project on 5th of August same day US group Anadarko Petroleum Corporation will inaugurate the village where the population of Palma district that was affected by the ongoing operations in Cabo Delgado province will be relocated.
The village is made up of 556 houses equipped with a water supply system, as well as health facilities, infrastructure for teaching and sports, among others, according to the AIM news agency.
The Area 1 natural gas project will be located in in the Rovuma basin, in northern Mozambique. The project development plan outlines two onshore liquefaction lines with an annual production capacity of 12 million tonnes of liquefied natural gas (LNG), as well as the construction of a domestic gas supply network.
The project is a US $25bn investment to be funded with US $14bn from bank funds and US $11bn from the shareholders of the concession. The Anadarko Petroleum Corporation in Mozambique, through its 100% controlled subsidiary Anadarko Moçambique Área 1, Ltd, operates the Rovuma Area 1 block, with 26.5%, in which its partners are ENH Rovuma Area Um, a subsidiary of Mozambican state-owned oil and gas company ENH, with 15%, Mitsui E&P Mozambique Area1 Ltd. (20%), ONGC Videsh Ltd. (10%), Beas Rovuma Energy Mozambique Limited (10%), BPRL Ventures Mozambique BV (10%), and PTTEP Mozambique Area 1 Limited (8.5%). (Macauhub)