Kosmos Energy says latest drilling offshore Senegal suggests potential for more LNG output

Monday, 01 July 2019
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Kosmos Energy, the main shareholder with BP of the UK in floating liquefied natural gas projects offshore Mauritania and Senegal in West Africa, said the latest well drilling in the Greater Tortue-Ahmeyim field may lead to an expansion of resource potential and estimates and to more LNG production.

Kosmos, based in Dallas, Texas, said its latest drilling in the Greater Tortue Ahmeyim-1 well (GTA-1), encountered approximately 30 metres of net gas pay in the high-quality Albian reservoir.

The Greater Tortue-Ahmeyim LNG project is on track to deliver first gas by mid-2022 and the well, which has been designed as a future producer, will be used to further optimize the development drilling plans for the BP-operated project.

“The GTA-1 well confirms our expectation that the gas resource at Greater Tortue-Ahmeyim will continue to grow over time and could lead to further expansion of this world-scale LNG project with 10 million tonnes per annum of production,” said Kosmos Chairman and Chief Executive Andrew G. Inglis.

“In addition, Kosmos’s process to sell down its interest to 10 percent has received considerable interest from the industry, with initial bids expected over the summer, and a transaction conclusion anticipated by year-end,” added Inglis.

Kosmos was the original successful explorer of the Senegal-Mauritania reserves and agreed to sell BP around 60 percent of the licences in 2016 with the UK major taking over operatorship.

The US company retained around 30 percent of the Senegal fields and licence and about 28 percent of the project’s Mauritania holdings.

Kosmos added that as of May 2019, all major contracts have been awarded for phase one of the project and construction activity has commenced with work on the floating production storage and offloading unit.

The latest contract was awarded in April 2019 to US engineering company KBR for the pre-front-end engineering and design services work for Phases 2 and 3 of the Greater Tortue-Ahmeyim venture.

The first gas from the Kosmos-BP FLNG Train 1 is scheduled for 2021 and the start of the second FLNG Train is set for 2023.

The GTA-1 well is located offshore Senegal and was drilled in 2,500 metres of water, about 10 kilometres from the Guembeul-1A and Tortue-1 wells, to a total depth of 4,884 metres.

Kosmos said that the “Ensco DS-12” rig, working on behalf of operator BP, will now drill the Yakaar-2 appraisal well in Senegal in the coming weeks, before drilling the Orca-1 exploration well in Mauritania late in the third quarter.

The other partners of BP and Kosmos in the cross-border Greater Tortue-Ahmeyim project include the national oil and gas companies of both countries.

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