McDermott International faces a claim for “maximum recoverable damages” linked to its failure to complete a contract for BP offshore Mauritania and Senegal.
Allseas has completed the infield pipelay scope for BP’s LNG project offshore Mauritania and Senegal.
London-listed Capricorn noted that if first oil occurs before June 30, 2024, Woodside would owe it $25 million - or $50 million.
“We are concerned about the uncertainty created by postponing the Presidential elections,” the Foreign, Commonwealth & Development Office (FCDO) said.
The two states will “remain vigilant” in the operational, economic and financial support, in partnership with BP and Kosmos Energy.
The statement from the ministry said the arrival of the FLNG vessel was a “historic moment” for the GTA project. It reported that the LNG scheme was more than 90% complete.
A worrying aspect of the global energy transition now gathering pace is how impoverished countries with large oil and gas discoveries react to wealthy nation rhetoric telling them that they should kiss the chance of making $billions goodbye before they’ve even started harvesting the resource.
Capricorn will “vigorously defend” its position, it said. This may include “exercising rights under the sales agreement”, it said.
“In addition, the project is expected to deliver LNG export volumes to global markets, further establishing Senegal as an important and reliable supplier of energy to the world.”
The FPSO is on its way to West Africa, the CEO said, while the FLNG facility should leave Singapore by the end of 2023. According to Marine Traffic, the FPSO is today offshore Maputo.
Allseas will deploy its Pioneering Spirit, the world’s largest construction vessel, to begin in early December 2023. Allseas will also use its Oceanic offshore support vessel.
Travel restrictions have eased, she said, and the company sees a need for quality control work. “We do understand the reasons for the remedial work – and we’re taking actions for Scarborough.”
In the first quarter, Woodside reported an average portfolio sales price of $85 per boe. In the second quarter, this fell to $63.
Woodside did not identify the cause of the FPSO problems. It struck a deal for a 100,000 barrel per day vessel from Modec in January 2020.
The JETP plan “will make it possible to support the Senegalese dynamic that we started several years ago of incorporating renewable energies into our energy mix and securing our energy system thanks to all our natural resources in line with the Paris Agreement”.
Kosmos will consider its options this year. Inglis said it would be likely that the second phase would have some element of fixed contract and spot pricing. “We will not have to have sold all the gas” at final investment decision (FID), he said.
“With higher production and lower capital, free cash flow is expected to rise into 2024 providing multiple pathways for the company to deliver value for our shareholders.”
BP and Kosmos Energy will present a plan of development for the Yakaar-Teranga this year and reach a final investment decision, a Senegalese official has said.
The FPSO for BP’s Greater Tortue Ahymeyim (GTA) LNG project has left China and is heading for its site off Mauritania and Senegal.
Treasury has estimated it could “result in around $6 billion in annual savings for the 17 largest net oil-importing African countries. We are seeing examples of emerging markets saving even more by using the price cap to negotiate steeper discounts with Russia. And we encourage more countries to do the same.”
Capricorn Energy has conceded that it expects to hold an EGM on February 1 but has warned shareholders against rejecting its proposed combination with NewMed Energy.
Companies building the Sangomar FPSO have completed their work, keeping the Senegalese field on schedule for start in late 2023.
BP has picked a Valaris rig to drill four wells offshore Egypt, starting late in the third or early in the fourth quarter of 2023.
Kosmos Energy is taking steps to ramp up production by 50% by 2024 – and in the longer term scale up its West African gas projects.
Senegal will join the Gas Exporting Countries Forum (GECF) today as an observer, before graduating to full membership next year with the start of LNG exports.