SNPC, Eni Congo, Lukoil and Eni SPA sign LNG deal

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This agreement marks a significant milestone in the Republic of Congo’s energy sector development, showcasing a dedication to harnessing natural gas potential for both domestic and international advantages.

In a first for the nation, the LNG Marine XII project, involving a substantial investment of nearly US$5bn, will leverage the natural gas resources within the Marine XII permit in two distinct phases. The gas will undergo liquefaction before being introduced to the global market. The maiden LNG carrier is set to sail from Congolese shores in December, signaling the launch of the first phase with an export capacity of 0.6 mn tons annually. The subsequent phase, planned for 2025, will elevate this capacity to an impressive 2.4 mn metric tons per year, ultimately reaching an annual LNG export of 3 mn tons.

While LNG exports are expected to infuse substantial financial resources into the nation, the domestic market will also witness significant growth, benefiting sectors like electricity, mining, agriculture, and industries and fostering sustainable economic development.

Credit for this historic achievement goes to the collaborative efforts of SNPC and the Ministry of Hydrocarbons, illustrating SNPC’s dedication to its mission and its role as a driving force in the exploration and exploitation of hydrocarbons. The synergy between companies such as Eni and institutions like SNPC and the Congolese Ministry highlights the potential for projects like this to address energy poverty, drive industrialisation, and accelerate Congo’s development.

Notably, in April, Eni also demonstrated its commitment to advancing gas projects in the Republic of Congo through the Congo LNG project, aiming for an annual output of 3 mn tons (approximately 4.5 bn cu/m annually) by 2025. This initiative involves deploying two cutting-edge floating LNG (FLNG) plants to process gas from existing and future fields. The FLNG facilities, boasting production capacities of 0.6 mn tons per annum (mtpa) and 2.4 mtpa, are scheduled for operation in 2023 and 2025.

The Republic of Congo’s active participation in initiatives geared towards boosting its hydrocarbon production capabilities lays a solid foundation for continued growth and development in the energy sector, contributing to both national prosperity and regional energy stability.

Source: Oil Review Africa