Anadarko Petroleum selects Chiyoda, CB&I and Saipem JV for onshore LNG park in Mozambique

CCS joint venture (JV), a consortium of Japan based Chiyoda, CB&I and Italian company Saipem, has won a contract from US based company Anadarko Petroleum to carry out initial work of $15bn onshore LNG park in Mozambique.

The project has been awarded to the consortium by Anadarko on behalf of Mozambique's Offshore Area 1 after a competitive FEED (front-end engineering and design) process.


Andarko owns a 26.5% working interest in the block with other partners being Empresa Nacional de Hidrocarbonetos (ENH) owning 15%, Mitsui E&P Mozambique Area1 with 20% and ONGC Videsh having 16% stakes in it.


Bharat PetroResources, PTT Exploration & Production, and Oil India also holds 10%, 8.5% and 4% interest in the project respectively.

The consortium will be responsible for setting up two LNG trains, each having a capacity of 6 MMTPA, for the LNG park.

Though the co-venturer's for the Offshore Area 1 have not raised the estimated costs for the original productions, the new plan for the trains show an increase of 1 MMTPA per train over the initial plan.


Scope of the deal also includes delivery of two LNG storage tanks, each having a capacity of 180,000m3, condensate storage, multi-berth marine jetty and associated utilities and infrastructure.

Selection of the JV is, however, subject to negotiation. The deal will lead to the formation of a definitive agreement before Anadarko and its co-venturers come up with Final Investment Decision (FID).

Anadarko chairman president and CEO Al Walker said: "I am incredibly proud of our co-venture for all of the accomplishments achieved to date, including securing more than 8 million tonnes per annum (MMTPA) in non-binding long-term off-take agreements, which are now progressing toward binding SPAs (Sales and Purchase Agreements), obtaining letters of intent from lenders for project financing at a very material level, and working with the newly elected Government to keep the project moving forward."

Subscribe To Our Newsletter

Security Q:How many eyes has a typical person? (ex: 1)