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Major Upcoming OIL and GAS Projects in Africa
Major Upcoming Oil and Gas Projects in Africa
Hello Displorers, welcome to another informative video presented to you by Displore and thanks for watching. In this video, we shall discuss major upcoming oil and gas projects in Africa. Africa’s current Oil and Gas landscape is vastly different compared to yesteryears statistics byfar. The significant resources found across the continent coupled with a relatively low-price environment have made it a prime region for investment both from local and international sources. As African governments open up development opportunities, and companies invest heavily in new areas, a wealth of potential has opened in the oil and gas sector which investors are not holding back their investments at all.
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Though only currently producing 4% of the world’s oil, the continent has huge untapped potential and plenty of natural resources to explore. A total of 70 crude and natural gas projects are expected to start in sub-Saharan Africa alone between 2019 and 2025. Amongst these, here are the major upcoming oil and gas projects in Africa.
8. Area 4 – Coral FLNG & Rovuma LNG - $4.7Billion
Area 4 contains approximately 85 trillion cubic feet of natural gas. ExxonMobil states that “tens of billions of dollars” are expected to be invested into creating a “world-class LNG project”, helping transform Mozambique into a major global energy player. Coral FLNG, operated by Mozambique Rovuma Ventures & lead by Eni, is well underway having passed FID back in 2017. The Reef Consortium of Technip, JGC, SHI are constructing the vessel in South Korea. When complete, it will travel down to Mozambique and start production from the gas filed Coral South in Area 4. ExxonMobil is leading construction and operation of the Rovuma LNG facility, which will process the gas from the mamba complex in Area 4, offshore Mozambique. Other benefits predicted from the project’s success include delivering significant revenue to Mozambique’s economy and new industrial opportunities. Construction alone will create 5,000 local jobs and promote skills development, with local workers set to receive two million hours of training in total.
7. Namibe Refinery Complex - $12Billion
An investment vehicle set up by two Russian groups and local partners proposed in 2017 a new 400,000 barrel per day refinery to be built in Namibe, Angola. The planned complex will have a staged construction, with a refinery and rail link to be built in the first phase along with integrated infrastructure and followed by construction and management of a residential area and power plant. The first phase will include the production of 28,000 barrels of refined oil within three and a half years and 364,000 barrels per day in the final phase within 11years. The project partners laid the first stone in July 2017 and is expected to start up in 2028.
6. Etan & Zabazaba Oil Fields - $13.5Billion
The Etan & Zabazaba fields are located in the deep-water OPL 245 block in the Gulf of Guinea, off the coast of Nigeria. In water depths of 1,200m - 2,400m, the fields together contain up to 500million barrels of oil equivalent, with additional exploration upside to be investigated in future years. The Etan field was the first discovery, back in 2005 when the Etan-1X discovery well was drilled to a total depth of 4,575m in 1,720m of water and logged 120m of hydrocarbon-bearing sands. Zabazaba was discovered in 2007, 40km from Etan on the other side of a subsea canyon. An integrated development project is being jointly launched by Eni and Shell, with plans to use the ZabaZaba FPSO to tap both fields in a phased development. The FPSO will be spread-moored with a capacity of 120,000 barrels per day.
5. Dangote Refinery and Polypropylene Plant - $14Billion
Nigerian based Dangote Group, Africa’s largest industrial conglomerate, are developing a major downstream facility in Nigeria’s Lekki Free Trade Zone. The 650,000 barrel per day oil refinery will produce 153,000 barrels per day of gasoline, 104,000 barrels per day of diesel, 73,000 barrels per day of jet fuel, 4,109 barrels per day of LPG and 12,300 barrels per day of fuel oil. It will be able to process different grades of crude including shale oil. Construction is underway, with the refinery thought to be 75% complete, with the petrochemical unit 60% complete. The completed refinery will include a crude distillation unit, a single-train residual fluid catalytic cracking unit, diesel hydrotreating, continuous catalyst regeneration unit, alkylation unit, polypropylene unit, utilities and off-sites, including a captive power plant and infrastructure for a single-point mooring terminal for crude oil and product handling. The plant will also include a fertiliser unit and the first production is due for the beginning of 2021, with full capacity expected to be reached halfway through the year.