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Anadarko awards Saipem a US$6bn EPC contract for Mozambique LNG project

7 Jun 2019

Mozambique LNG (MLNG) has awarded a US$6bn Engineering, Procurement, and Construction (EPC) contract to a joint venture of Saipem, McDermott International and Chiyoda Corporation, for its 12.88 Mt/year LNG project in Mozambique. The EPC contract is subject to a full Notice to Proceed, to be issued after the final investment decision (FID), which is expected later in June 2019.

MLNG is being developed by Anadarko (26.5%) in partnership with Mitsui E&P Mozambique (20%), Empresa Nacional de Hidrocarbonetos (ENH, 15%), ONGC-OIL (10%), Beas Rovuma Energy (10%), Bharat PetroResources (10%) and PTTEP (8.5%). It will exploit gas reserves from the Offshore Area 1 in the Rovuma basin (estimated to hold more than 2 100 bcm or 12 Gboe). The project will consist of two liquefaction trains with a total nameplate capacity of 12.88 Mt/year. The project could start production in 2022-2023.

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