UTM Offshore awards contracts for Nigeria’s first FLNG project

Nigeria’s UTM Offshore has awarded two contracts for the country’s first floating LNG production plant.

Abuja-based UTM Offshore said it signed on Tuesday a pre-front end engineering and design contract with Japan’s JGC Corporation but it also selected US-based KBR as the project’s owners engineer to review JGC’s work.

The work should be completed in about four months from start.

The contract signing follows a licence award from Nigeria’s Department of Petroleum Resources (DPR) to establish the country’s first FLNG production plant.

Furthermore, the firm plans to install a liquefaction unit with a capacity of 1.2 million tonnes per annum, sourcing gas from the Yoho field which lies in Oil Mining Lease 104, offshore Nigeria.

The Nigerian government holds 60% interest in the Yoho crude oil joint venture, through NNPC, while ExxonMobil’s MPN holds the remaining 40% and operates the development that started production back in 2003.

The new unit would take on the associated gas that the JV currently sends back to the field.

Moreover, UTM said it is in talks with ExxonMobil to prepare for the deployment of the FLNG unit on the block. The FLNG could start production in 2025.

Should the project commercialize, the 1.2 mtpa FLNG would add to the 22 mtpa Bonny LNG onshore plant already produces.

The joint venture behind the six-train plant including NNPC, Shell, Total, and Eni is also adding an additional unit to boost capacity to 30 mtpa in total.

Most Popular

Golar chairman says FLNG industry set for ‘massive’ growth

Golar LNG will continue to expand its fleet of floating LNG production units in an industry set for "massive" growth, according to Golar LNG's chairman, Tor Olav Trøim.

Canada’s Cedar LNG names FLNG

Canada’s Cedar LNG, a joint venture of Canada’s Pembina Pipeline and the Haisla Nation, has picked a name for its floating LNG facility, which will be located in the traditional territory of the Haisla Nation, on Canada’s West Coast.

Energy Transfer, Kyushu Electric ink long-term Lake Charles LNG deal

Energy Transfer, the developer of the proposed Lake Charles LNG export facility in Louisiana, has signed a long-term supply deal with Japan's Kyushu Electric Power.

More News Like This

ExxonMobil CEO expects Golden Pass LNG launch by end of this year

ExxonMobil CEO Darren Woods expects the QatarEnergy-led Golden Pass LNG export project in Texas to produce first LNG volumes by the end of this year. Separately, Golden Pass LNG is also seeking approval from the US FERC to increase peak workforce up to 10,300.

Golden Pass LNG moving forward with commissioning activities

Golden Pass LNG, a joint venture of QatarEnergy and ExxonMobil, is moving forward with the commissioning work at its giant LNG export facility in Texas with new approval from the US FERC.

Hyundai E&C, Itochu ink LNG pact

South Korea’s Hyundai Engineering & Construction and Japan's trader Itochu have signed a memorandum of understanding to collaborate in several areas, including LNG.

H-Line Shipping, ExxonMobil name LNG carrier duo in South Korea

South Korea's H-Line Shipping and US energy giant ExxonMobil recently named two newbuild liquefied natural gas (LNG) carriers in South Korea.