Anadarko Petroleum signs offtake deal for Mozambique LNG project

Anadarko Petroleum, through Mozambique LNG1 Company, has signed an agreement to supply 1.2 million tonnes per annum (mtpa) to Électricité de France (EDF) from its Mozambique liquefied natural gas (LNG) project.

Mozambique LNG1 Company is a sales entity owned by Anadarko in partnership with the Mozambique Area 1 co-venturers.

The supply agreement will be valid for a period of 15 years.

Anadarko Petroleum International & Deepwater Operations and Project Management executive vice- president Mitch Ingram said: “EDF is one of the world’s largest electric utilities, and reaching this sale and purchase agreement (SPA) continues to validate Mozambique LNG’s position as a competitive long-term LNG supplier and as one of the world’s leading greenfield projects.

“Mozambique LNG is unique in its ability to supply LNG to a variety of geographic locations to serve its customers, and this SPA gives us flexible access to Europe, which is one of our key strategic markets.

“The EDF sale is included in the portfolio of sales of more than 5mtpa, for which we have agreed key terms, and we continue to advance additional off-take arrangements.”

The LNG project is set to become Mozambique’s first onshore LNG development.

Initially, the project will comprise two LNG trains with aggregate nameplate capacity of 12.88mtpa.

According to the company, the trains will assist in the development of the Golfinho / Atum fields located entirely within Offshore Area 1.

Other stakeholders in Mozambique Area 1 include ENH Rovuma Área Um, Mitsui E&P Mozambique Area1, ONGC Videsh, Beas Rovuma Energy Mozambique, BPRL Ventures Mozambique and PTTEP Mozambique Area 1.