Africa’s first FLNG venture one step closer

The parties involved in the Fortuna floating LNG project off Equatorial Guinea on Tuesday signed the so-called umbrella agreement that puts in place the legal and fiscal framework for the venture.

Signed by the government of Equatorial Guinea, Ophir Energy, One LNG and GEPetrol, the agreement paves the way for the final investment decision on the project, which is expected by mid-2017.

The stakeholders also communicated that the construction contract awards process was “on schedule.” Talks with Chinese lenders on the project finance facility have progressed to the final documentation stage, the press release also said.

“This agreement is in line with the government’s objective to deliver important projects that monetizes our gas, promotes local content and brings world-class petroleum technology to Equatorial Guinea. It also has brought us one crucial step closer to realizing the historic Fortuna FLNG project,” Minister of Mines and Hydrocarbons Gabriel Mbaga Obiang Lima said in comments on the agreement.

Nick Cooper, CEO of Ophir, welcomed the agreement and the “alignment of interest that this brings.”