Total-Chevron-SNPC to invest $7 billion in Moho-Nord
Total from France, and its partners, Chevron from USA and the local Société Nationale des Pétroles du Congo (SNPC) are willing to move on fast track with the Moho-Nord Floating Production Unit (FPU) project offshore Congo-Brazzaville.
Located 20 kilometers northwest of the actual Moho Bilongo FPU and 77 kilometers offshore from the coast of Congo, the Moho-Nord project is the extension of Moho-Bilondo project put in operations in 2008.
This Moho-Bilondo license is supported by a production sharing agreement signed with the Government of Congo where Total and its partners share the working interests as following:
– Total 53.5% is the operator
– Chevron 31.5%
– SNPC 15%
Total is operating the Congo since 1968 and is currently the largest producer of crude oil in the country representing approximately 60% of the local output.
With the Moho-Bilondo phase 1, Total and its partners are currently producing 90,000 b/d of crude oil through a FPU and a connection to the Djeno onshore terminal.
These new discoveries Bilondo Marine 2 and 3 confirmed the previous successful wells Moho-Nord Marine 1 and 2 drilled in 2007.
Lying by 800 meters water depth the oil play was hit by 1,800 meters of total drilling depth.
With $7 billion capital expenditure, Moho-Nord is the largest ever oil and gas project in the Congo that should represent 30% of the local oil production.
Total to select EPC for Moho-Nord FPU in March
With Moho-Nord, Total expects to increase its production in Republic of Congo to 200,000 boe/d in 2015.
Because of the unusual size of the project and the complexity of the oil field in the new discoveries, Total has been working with the Government of Congo to review the tax system applying to the development of the Moho Bilongo license.
In compensation Total and the Government agreed to initiate a local content policy in Congo.
Presented in July 2012, the purpose is to enhance the local practices regarding the quality, health, safety and environment in order to meet Total standard requirements.
With the support of the international oil companies, Congo expects to qualify number of local companies as subcontractors or sub-suppliers of the main contractors and vendors.
For the development of Moho-Nord, Total is planning a drilling campaign of wells between 2,500 and 4,000 meters deep below the seabed.
The Moho-Nord project includes:
– 12 Production wells
– 5 Injection wells
– Tension leg platform (TLP) to support the wellheads
– Export pipelines for oil and gas to Djerno and Nkossa.
The Tension leg platform should weight 13,000 tonnes and hold 27 well slots.
If the conclusions of the FEED are approved, by Total and its partners, the FEED contract will be converted automatically in April 2013 into an engineering, procurement and construction (EPC) contract.
With the hull to weight 15,000 tonnes and the topsides 7,000 tonnes, the Moho-Nord FPU should be 188.5 meters long and 34 meters wide.
This FPU is designed to handle
– 90,000 barrels of crude oil
– 45 million cf/d of natural gas
– 75,000 of barrels of water each day
– Living quarter for 80 people.
Three teams are in competition:
– Saipem with STX
Doris and Hyundai benefit from their deep knowledge of the project, Samsung may try to repeat its success with Egina in Nigeria in favoring the local content, while STX may play with the price through its Chinese shipyard in Dalian.