China National Offshore Oil Corp. (CNOOC) has signed an exploration and production agreement with the southeast African nation of Mozambique near where CNPC holds LNG project stakes. Much of the developed natural gas is hence likely to be destined for export, though a share is designated for the local power market.
CNOOC specified the contract is for five offshore blocks covering a total area of about 29,000 square kilometres and the first phase of the exploration period will take four years. The blocks are situated in the Angoche offshore region, just south of the troubled Cabo Delagdo province where an onshore LNG project has been suspended for several years due to an armed incursion.
Here, CNPC already holds the Area 4 licence resources in the prolific Rovuma Basin offshore Cabo Delgado province, with an existing floating LNG project, a proposed second FLNG venture and a planned onshore liquefaction plant int venture. Eni is the upstream operator of the Area 4 licence, coowned with ExxonMobil, Portugal’s GALP Energia, Korea Gas Corp. and ENH.
