Eni Works with Kogas, Anadarko to Exploit Mozambique's LNG Potential

---

Researched by Industrial Info Resources (Sugar Land, Texas)--Intense activity continues to push Mozambique's natural gas and liquefied natural gas (LNG) projects forward. The latest development was the signing of an agreement between Eni SpA (NYSE:E) (Rome, Italy) and Korea Gas Corporation (KSX:036460) (Kogas) (Seoul, South Korea) to strengthen and consolidate the companies' relationship in a number areas, with the emphasis on the upstream and LNG sectors.

The agreement also will allow the companies to jointly pursue opportunities worldwide. The partnership has been involved in projects in Cyprus, Iraq, Indonesia and Timor Leste.

The cooperation is expected to facilitate the LNG development of Area 4 of Mozambique's offshore Rovuma Basin. Eni is the operator for Area 4, with a 50% indirect interest. It is partnered by Kogas, Galp Energia (Portugal) and the local Emprecia Nacional de Hidrocarbonetos (ENH), with the three companies each holding a 10% stake, and China National Petroleum Corporation (CNPC) (Beijing, China) with a 20% stake.

Area 4's total resources are estimated to be about 85 trillion cubic feet of gas, and the development phase of the project could start in 2015. The partners are considering using a floating LNG (FLNG) vessel to speed up the project. The Mozambique government previously invited the Eni consortium to team up with Area 1 operator Anadarko Petroleum Corporation (NYSE:APC) (The Woodlands, Texas), to develop and jointly operate a large onshore LNG plant.

View Project Report - 300045959 300116394

For related information, see October 13, 2014, article - Mozambique Launching Fifth Licensing Round for Major Hydrocarbon Blocks.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.