The $36 billion hydrocarbons multinational, Eni, announced America’s New Fortress Energy (NFE) as the contracting partner for the company’s liquefied natural gas (LNG) project in the Congo. Both parties have signed a heads of agreement (HoA) with negotiations due to conclude by the end of the month for this 20-year contract.
NFE will supply the company’s pioneering Fast LNG technology for the plant, producing a projected 1.4 million tons of LNG per annum from stores in Eni’s Marine XII zone where upwards of 6 trillion cubic feet of natural gas has already been reinjected for storage.
The NFE-Eni agreement marks the second phase of Eni’s Congolese LNG project which is set to commence with a floating liquefied natural gas vessel at 0.5 million tons’ LNG per annum output capacity, possibly provided for by Belgium-based shipping company Exmar.
The announcement also represents a move forward in the project’s timeline. This secondary phase, having previously been slated for 2024, is now planned to be launched in Q2 2023. NFE’s Fast LNG technology is specifically designed for rapid deployment of this kind, boasting modular mid-size liquefaction units on jack-ups making LNG production cheaper and more agile. NFE is also in late-stage negotiations for several other deployments of their Fast LNG technology globally, including off the US coastline.
Eni’s Congolese LNG project has spent more than seven years in conceptual development, yet now appears to be progressing rapidly towards realization. The company’s CEO, Claudio Descalzi, has openly praised the initiative, supporting the country’s energy transition along with Eni’s zero gas flaring goals. Double digit returns are forecasted with all product to be sold on the spot market locally and abroad.