New Fortress, Eni to deploy fast LNG offshore Congo
New York-based New Fortress Energy (NFE) and Italy’s Eni said February 28 they had executed a heads of agreement (HoA) to deploy NFE’s Fast LNG liquefaction technology off the coast of the Republic of the Congo.
The technology will be deployed for a term of 20 years to produce up to 1.4mn mt/yr of LNG in the associated gas fields offshore Congo-Brazzaville. The HoA provides a framework for negotiating a long-term tolling agreement between NFE and Eni for the full capacity, and for NFE to purchase about 1.2mn gallons/day of LNG pursuant to a 20-year FOB sales and purchase agreement.
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“This partnership is a major milestone for our Fast LNG business,” NFE CEO Wes Edens said. “Eni is a world-class organisation and the perfect partner for the first Fast LNG unit. With production beginning next year, we believe that this is just the first of many deployments of this technology around the world.”
The Fast LNG liquefaction design pairs modular, mid-size liquefaction technology with jack up rigs or similar floating infrastructure to enable a much lower cost and faster deployment schedule than today’s floating liquefaction vessels.
Under the HoA, the finalisation and execution of definitive agreements remains subject to negotiation and a set of conditions, which are expected to be completed and satisfied by the end of March. Pending successful completion of those negotiations, production is expected to start in Q2 2023.