JOGMEC Provides Equity Financing to
Mitsui’s LNG Project in the Republic of Mozambique
- Final Investment Decision for the Mozambique LNG Project-
Japan Oil, Gas and Metals National Corporation (“JOGMEC”) announced that it will provide further equity financing to JOGMEC-assisted Mitsui E&P Mozambique Area 1 Ltd. (“MEPMOZ”), a subsidiary of Mitsui & Co., Ltd. (“Mitsui”), coinciding with the announcement of the Final Investment Decision ("FID") for the Mozambique LNG Project.
MEPMOZ holds a 20% participating interest in the Rovuma Offshore Area 1 Block (“Area 1”). The operating 26.5% interest is held by Anadarko Moçambique Área 1 Limitada, with the remainder owned by ENH Rovuma Área Um, S.A. (an affiliated company of ENH) and subsidiaries of Indian companies and a Thai company.
In 2008, MEPMOZ acquired an interest in Area 1, which is located offshore to the north of Mozambique, and through subsequent exploration and assessment activities, discovered one of the world’s biggest natural gas fields. Since the initial exploration, JOGMEC has been providing its exploration equity financing to MEPMOZ, and, following the FID, will expand its support to cover up to 50% of the development and liquefaction expenditures incurred by MEPMOZ.
With the development target of the Golfinho/Atum gas field, this project is an integrated upstream-midstream project that encompasses all stages from natural gas production and liquefaction to LNG shipment. This project is expected to accelerate the diversification of Japan’s LNG import source and secure long-term LNG supply to Japan once production commences.
Furthermore, while the energy-wise relationship between Mozambique and Japan has been established through JOGMEC’s cooperative frameworks with Mozambican organizations in various areas including human resources development in the oil and gas sector, JOGMEC’s continued support will strengthen such relationship beyond the achievement of a historic milestone of the Mozambique LNG Project.
||Mitsui E&P Mozambique Area 1 Ltd.
||Mitsui & Co., Ltd (Voting rights more than 50%)
JOGMEC (Voting rights less than 50%)
Rovuma Offshore Area 1 Block
3. Participating Interest
|Anadarko Moçambique Área 1 Limitada (Operator)
|Mitsui E&P Mozambique Area 1 Limited
|ENH Rovuma Área Um, S.A. (ENH 100% owned company)
|ONGC Videsh Limited
|Beas Rovuma Energy Mozambique Limited
|BPRL Ventures Mozambique B.V.
|PTTEP Mozambique Area 1 Limited
|Date of Approval
||June 17, 2019
|Estimated Amount of Equity Financing
||approximately JPY 125 Billion
Approval has been made in accordance with JOGMEC’s technical, economic, and business-environment criteria and the consent from the Minister of Economy, Trade and Industry has been obtained.
Location of Area 1 Block
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