Equatorial Guinea is set to develop a gas megahub in Punta Europa after it signed a Strategic Partnership and Cooperation Agreement with Vitol. The project is expected to establish a modern, flexible gas processing and export system that will be of service to the needs of growing gas demands in the region and the global liquefied natural gas (LNG) market.
This will propel Equatorial Guinea to optimize the value of its gas production across LNG, liquefied petroleum gas, condensate, and other products, as well as being provisional to other regional producers by having access to modern infrastructure and economies of scale. “We are now in the implementation phase and interested parties should get set to invest or move aside,” stated the Minister of Mines and Hydrocarbons, Gabriel Mbaga Obiang Lima, in an official statement. “Equatorial Guinea is well placed to become a key regional hub of natural gas,” Russell Hardy, Group CEO of Vitol proclaimed in his own remarks.
Equatorial Guinea will develop the gas megahub in the north of Bioko Island and close to Cameroon and Nigeria. It will facilitate a cross-border link with gas projects in those countries and open the door for the establishment of new hubs to be of service to the region. The Gas Megahub will also help reduce the dependency on single upstream producers for industrial development and will combine with new subsea pipelines linking the country’s Aseng, Alen and Alba fields, the project will pave way for gas to be re-directed to maximize efficiencies. Utilizing the Punta Europa-Alba-Alen infrastructure, the Gas Megahub will be able to connect the country to new gas discoveries, drive monetization of stranded gas, augment fuel exports and boost internal revenues.