Ophir Agrees on Fiscal Terms for Equatorial Guinea FLNG Project

Africa focused oil and gas player Ophir Energy has established fiscal framework for Block R PSC in Equatorial Guinea and country’s first FLNG project.

The company on Tuesday announced signing of an amendment to the Block R PSC that establishes gas fiscal terms within the PSC and a fiscal framework for the FLNG project.

“The agreed terms provide a robust, transparent financial framework in which Ophir (as operator with 80% equity), GEPetrol (as 20% equity partner) and the Government of Equatorial Guinea, can work together to develop the Fortuna FLNG project,” Ophir said.

The total estimated mean recoverable resources of Block R, including the discoveries and adjacent de-risked volumes, are 3.4TCF. According to Ophir, these resources will be developed through a four-phase development of the assets that will commence with the development of the Fortuna Field.

The next milestone in the Block R FLNG development will be the appointment of the midstream partners, this is expected to occur in November, and the commencement of upstream FEED is planned in early 2015. FID is expected in 2016 and first gas in 2019.