Italy's Eni and ExxonMobil have completed the deal, signed back in March 2017, that sees the U.S. oil major acquire a 25 per cent indirect interest in Mozambique’s gas-rich Area 4 block in the Rovuma Basin from Eni and assume responsibility for midstream operations.
Eni will continue to lead the Coral South floating LNG project and all upstream operations in Area 4, while ExxonMobil will lead the construction and operation of all future natural gas liquefaction and related facilities.
Both firms said in separate statements that the this operating model will enable the use of best practices and skills with each company focusing on distinct and clearly defined scopes while preserving the benefits of an integrated project.
The deepwater Area 4 discoveries contain an estimated 85 trillion cubic feet (2,400 billion cubic meters) of natural gas, which is projected to be the world’s fastest-growing major fuel source, with Mozambique being well positioned to supply LNG customers around the world for the next 40 years and beyond.
“ExxonMobil brings our LNG leadership and experience to support development of Mozambique’s high-quality natural gas resources,” said Darren W. Woods, chairman and chief executive officer.
“We are confident that our project and marketing expertise, coupled with our financial strength, will help grow the value of Mozambique’s energy resources. We will work closely with our partners to develop this world-class resource.”
Eni East Africa, to be renamed Mozambique Rovuma Venture, which owns 70 per cent of the Area 4 concession, is now co-owned by Eni (35.7 per cent), ExxonMobil (35.7 per cent) and CNPC (28.6 per cent). The remaining interests in Area 4 are held by Empresa Nacional de Hidrocarbonetos E.P. (ENH, 10 per cent), Kogas (10 per cent) and Galp Energia (10 per cent).