« BackNews: African LNG Project Moves Closer To Starting

African LNG Project Moves Closer To Starting

There are plans to extract natural gas from the Grand Tortue/Ahmeyim gas field, which straddles the border between Senegal and Mauritania.

Oil Price described it as one of the biggest deepwater gas finds of recent years, but noted that very little is mentioned about this huge LNG prospect. The two countries involved have agreed to fair and equal distribution of the resources.

And now the project is moving closer to becoming a reality, with commissioning for the giant floating LNG project expected by 2022.

The final investment decision on the project was made in December last year, which the news provider said had created “a buzz”. BP is one of the partners, and will be the operator with a 47.6 per cent stake.

Kosmos Energy, which owns a 42.4 per cent stake, is also vital for the project because it owns the two relevant national oil companies in Senegal and Mauritania.

However, Kosmos Energy has recently announced that it wants to reduce its stake in the scheme to ten per cent, or even sell its entire interest, with the news provider noting this could slow the project down again if the right partners aren’t found to take its place.

BP could decide to buy Kosmos Energy out, or another LNG-focused business such as Shell, Rosneft or ENI may want to step in.

There has been significant investment in LNG around the world in recent years, as more industries and businesses look to divest from oil and coal. In January, for example, Qatar took the next steps in extending its LNG facilities, which are already the largest in the world.

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