Anadarko and Eni to review Afungi LNG Park phases
The Anadarko Petroleum Company (Anadarko) from USA and the national oil company (NOC) Eni from Italy are facing some delays in the implementation of the giant project for the liquefied natural gas (LNG) to be built at Afungi, in the northeastern province of Cabo Delgado in Mozambique.
– Area-4, Eni is the operator with 50%, China National Petroleum Corporation (CNPC or PetroChina) 20%, ENH 10%, Galp Energia (Gapl) 10%, Kogas 10%.
If the size of the onshore and offshore projects imposes to involve multiple partners, this fragmented structure does not help to make decision.
Bechtel, CB&I-Chiyoda, JGC-Fluor in competitive FEED
For this Onshore Mozambique LNG project, KBR and Technip performed a pre-front end engineering and design (pre-FEED) to recommend Anadarko and Eni to build the jointly operated Afungi LNG Park along the coast of the Cabo Delgado Province.
Currently three teams are in competition for this FEED:
The competitors are expected to return their best technical and commercial offer on first quarter 2014.
After evaluation, the winner of this competitive FEED will be given the engineering, procurement and construction (EPC) contract for the first two LNG Trains with the option for the second series of two LNG Trains.
Unfortunately the time given for the evaluation of the competitive FEED offers, will lead Anadarko, Eni and their respective partners to come for approval to Mozambique Government at the Presidential election period planned in September 2014.
In this context, it appears challenging for Anadarko, Eni and their respective partners to move Onshore Mozambique LNG project into EPC phase on time to start commercial operations in 2018, but more likely in 2019 or 2020.