• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 3 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 6 days Does Toyota Know Something That We Don’t?
  • 6 days World could get rid of Putin and Russia but nobody is bold enough
  • 2 days America should go after China but it should be done in a wise way.
  • 8 days China is using Chinese Names of Cities on their Border with Russia.
  • 9 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 9 days OPINION: Putin’s Genocidal Myth A scholarly treatise on the thousands of years of Ukrainian history. RCW
  • 9 days CHINA Economy IMPLODING - Fastest Price Fall in 14 Years & Stock Market Crashes to 5 Year Low
  • 8 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 9 days Putin and Xi Bet on the Global South
  • 9 days "(Another) Putin Critic 'Falls' Out Of Window, Dies"
  • 10 days United States LNG Exports Reach Third Place
  • 10 days Biden's $2 trillion Plan for Insfrastructure and Jobs

Japan Bets Big On Mozambique LNG

In partnership with the business sector, the Japanese government will invest some $14.4 billion (1.5 trillion yen) in liquefied natural gas development in Mozambique, the Nikkei Asian Review reported.

According to the report, the money will fund the development of a gas field in the African country to produce some 12 million tons of LNG annually, beginning in 2024. As part of the deal, trading major Mitsui & Co. and Japan Oil, Gas and Metals National Corp. will together buy a 20-percent stake in the field.

Three Japanese private banks will provide most of the debt funding for the project, and the state-owned Japan Bank for International Cooperation will supply $3 billion in loans.

Another report also mentions $3 billion to be provided in debt financing for the Mozambique LNG project in which Mitsui & Co. is a minority partner with 20 percent to French Total, which operates the project. Part of the $14.4 billion may go into this particular project.

Japan is the world’s largest importer of liquefied natural gas, and earlier this year, the Nikkei Asian Review reported that the country’s LNG supply security was threatened by the coronavirus outbreak, with stockpiles at the time only sufficient for two weeks of consumption.

Mozambique, on the other hand, is turning into a hotspot for the LNG industry, with Total’s $20-billion Mozambique LNG project to produce close to 13 million tons of the fuel annually, and Exxon’s Rovuma project to yield some 15.2 million tons once operational.

For now, however, the Mozambique LNG facility is the only one in the country that has received a final investment decision. Exxon recently said it would delay its FID on Rovuma until next year because of current market conditions. The liquefaction operation was originally scheduled to come online in 2024, like Mozambique LNG.

By Irina Slav for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News