LNG

Australian engineering company Worley said it was awarded two master service agreements by French major Total to provide specialised services for the Mozambique LNG export project at Pemba on the northern coast of the southeast African nation.

“Under the MSAs, Worley will provide in-and-out of country services, including engineering, consulting and specialist engineering for delivery of onshore and offshore (subsea) facilities,” said Worley.

“The services will support the development of the new LNG facility,” the company added.

Worley said the work would be under its local Mozambique operational division with support from Worley’s global businesses, including the consultancy subsidiary Advisian. 

Syndey-based Worley has already supported the LNG development, located on the Afungi peninsula in Mozambique's Cabo Delgado province, since natural gas was first discovered there in 2010. 

Analysts said Worley was a highly experienced LNG and natural gas contractor, having played a leading role in the build-out of Australia's liquefaction plants.

“We are pleased to continue providing services to the LNG development and to support one of Africa’s largest projects,” said Andrew Wood, Chief Executive of Worley.

“Through the MSAs, we will help Total and its partners in the Mozambique LNG Project meet the world’s changing energy needs,” added Wood.

The French company has already said it planned to expand its Mozambique venture with up to two additional processing Trains, taking the total up to four Trains.

Total is looking  at studies for Train 3 and Train 4 because of the huge feed-gas resources offshore Mozambique.

Total confirmed in October 2019 that it paid $3.9 billion to close the acquisition of Anadarko Petroleum’s 26.5 percent operated interest in the Mozambique LNG project from Anadarko purchaser Occidental Petroleum.

Total had previously reached a binding agreement with Occidental to buy Anadarko’s assets in Africa, including Mozambique, Algeria, Ghana and South Africa.

Patrick Pouyanné, Chairman and Chief Executive of Total, has said that Mozambique LNG was a one-of-a-kind asset that perfectly fitted with the company strategy.

Total plans to work on the strong foundations established by the previous operator Anadarko and its partners.

The project includes the development of the Golfinho and Atum fields located within offshore Area 1 of the Rovuma Basin. 

The plant site has already been cleared near the coastal town of Pemba.

The Rovuma Area 1 contains more than 60 trillion cubic feet of gas resources of which 36 Tcf could be developed for a four-Train plant.

The Area 1 shareholder line-up is now as follows: Total operates Mozambique LNG with a 26.5 percent participating interest alongside Mozambican state-owned energy company ENH (15 percent). 

Japan’s Mitsui owns 20 percent, India’s ONGC Videsh, Bharat  PetroResources and Beas Rovuma Energy each hold 10 percent and Thailand’s PTTEP 8.5 percent.

The Total-led venture is Mozambique’s first onshore LNG plant.

Italian energy company Eni is leading a project for the Coral South floating LNG project from Area 4 resources in the Rovuma Basin. 

It is also planning an onshore venture with ExxonMobil and other stakeholders.

The final investment decision on the Mozambique LNG project was announced by Anadarko in June 2019 and the venture is expected to come into production by the start of 2025.

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WorleyParsons, the Australian energy and LNG engineering group with international assets, is changing its name to Worley following the successful completion of the A$4.5 billion (US$3.2Bln) acquisition of the Energy, Chemicals and Resources division of Jacobs Engineering of the US.

WorleyParsons entered into a binding agreement in October 2018 to acquire the Jacobs assets to improve its offerings in the energy, chemicals & resources division.

The transaction has expanded the Worley presence in the refining and petrochemicals sectors to match its subsea and LNG contracts presence, especially in Australia.

Worley subsidiary Intecsea was awarded a contract by Woodside for its Scarborough gas and Pluto LNG expansion project in Western Australia.

The Worley unit has also recently been awarded a third contract by Santos for the subsea infrastructure in the Barossa-Caldita gas field offshore northwest Australia to expand the lifespan of the Darwin LNG plant, operated by ConocoPhillips.

Worley said its new merged business of WorleyParsons and the Jacobs ECR division will now seek more energy contracts with a global workforce of 57,600 people.

“In Europe, the acquisition brings together a highly skilled workforce servicing the hydrocarbons sector in The Hague and Aberdeen, the chemicals sector in Belgium and Germany and the minerals sector in the United Kingdom,” said Worley.

The company explained that Worley’s expansion in other strategic markets including the Middle East, North America, Canada, and India means it will have greater global reach, with leading market positions in the sectors.

Worley Chief Executive Andrew Wood said the acquisition was about more than capacity and capability, it was also about opportunity.

“Our new brand reflects our place at the forefront of the energy, chemicals and resources markets and our ability to support our customers through the global energy transition,” added the Worley CEO.

“We plan to embrace the heritage of both WorleyParsons and Jacobs ECR while looking firmly ahead to what promises to be an exciting future as one entity,” stated Wood.

Australian LNG and energy engineering company WorleyParsons has put behind it several years of restructuring to pay 182 million pounds (US$240) to expand into the UK North Sea petroleum market with an agreed takeover.

WorleyParsons, the Australia-based LNG, energy and general engineering project company, said it expected trading conditions to remain challenging, leading to continued pressure on revenues as it pledged to remain very active in the oil and gas sector.