Contracts for the subsea systems and installation work on Anadarko Petroleum and Eni’s giant Mozambique projects in Areas 1 and 4 off the east coast of Africa look set to be awarded in the first half of 2014.
According to national oil company Empresa Nacional de Hidrocarbonetos’ (ENH) director of engineering and projects, Paulini Gregorio, the winning bids will be awarded in 1H 2014 so that construction work can get under way by early 2015.
The companies chasing the major subsea packages have all been working since late last year on parallel FEED (Front End Engineering and Design) studies focused mainly on the subsea systems for the Prosperidade complex in the Rovuma Basin’s Area 1, as previously reported (see DI, 24 December 2012, page 1). Those taking part are Technip, a JV between McDermott International and Allseas Group, and another between Subsea 7 and Saipem. Each FEED was specified to deliver a full engineering, procurement, installation and commissioning plan for the Area 1 development.
ENH is also looking to raise its stake in both areas, operated by Anadarko Petroleum and Eni, as it aims to increase its share of profits in what has been a continually growing and now truly world-class gas resource that will be developed by several LNG trains.
“We are trying to see how we can increase our participation in the projects,” Gregorio commented. “Of course, we have financial constraints,” he added, saying that banks have approached it to help with arranging finance for its stake in the project. ENH currently holds 15% in Anadarko’s Area 1 and 10% of Eni’s Area 4 block.
Carrying out similar FEEDs on the onshore LNG plant are International Bechtel Co.; Chicago Bridge and Iron Company NV and Chiyoda Corp.; and a venture between JGC Corp. and Fluor Transworld Services Inc.
Recommended Reading
Keeping it Simple: Antero Stays on Profitable Course in 1Q
2024-04-26 - Bucking trend, Antero Resources posted a slight increase in natural gas production as other companies curtailed production.
Oil and Gas Chain Reaction: E&P M&A Begets OFS Consolidation
2024-04-26 - Record-breaking E&P consolidation is rippling into oilfield services, with much more M&A on the way.
Exxon Mobil, Chevron See Profits Fall in 1Q Earnings
2024-04-26 - Chevron and Exxon Mobil are feeling the pinch of weak energy prices, particularly natural gas, and fuels margins that have cooled in the last year.
Marathon Oil Declares 1Q Dividend
2024-04-26 - Marathon Oil’s first quarter 2024 dividend is payable on June 10.
Talos Energy Expands Leadership Team After $1.29B QuarterNorth Deal
2024-04-25 - Talos Energy President and CEO Tim Duncan said the company has expanded its leadership team as the company integrates its QuarterNorth Energy acquisition.