A milestone has been reached in the Cameroon floating liquefied natural gas project after parties signed a gas convention.
The final investment decision commits the project to a targeted start date for commissioning in the second quarter of 2017.
At a signing ceremony in Cameroon the country’s state-owned oil company Société Nationale des Hydrocarbures (SNH), Perenco Cameroon, Golar Hilli Corporation and Golar Cameroon executed a an
agreement which endorses and governs the installation and operation of the GoFLNG vessel in Cameroon waters offshore of Kribi.
Golar’s chief executive Gary Smith, said: “The achievement of this very significant milestone in the delivery of Golar’s FLNG strategy is the result of many years of hard work and technical
innovation by our employees and partners.
“We consider ourselves very fortunate to be developing our first FLNG project in a very professional partnership with Perenco and SNH who have provided a solid foundation to this ground breaking project.
“We genuinely believe the employment of this first speculatively ordered FLNG unit and the approval for development of the Kribi field sets a new standard for development of gas reserves. Golar’s GoFLNG business model reduces the resource holder’s capex and project execution risk, advance their cash flow and is flexible enough to develop smaller reserves.”
The signing of the gas convention will enable Golar to draw down up to $700million from the facility to fund the ongoing conversion cost.
Golar, Perenco and SNH have for the past two years been developing a floating liquefied natural gas export project located near shore off the coast of Cameroon.