Ophir Holdings & Ventures LTD (“Ophir”), a wholly owned subsidiary of Ophir Energy plc, and OneLNGSM, a joint venture between subsidiaries of Golar LNG Limited and Schlumberger, announce that they have signed a binding Shareholders’ Agreement to establish a Joint Operating Company (“JOC”) to develop the Fortuna project, in Block R, offshore Equatorial Guinea utilising Golar’s FLNG technology.
Fortuna, Equatorial Guinea
The Fortuna FLNG development will be Africa’s first deepwater independent FLNG project. The project entered FEED in July 2015 and FID is expected during 1H 2017 with the first gas forecast for 2020. The field is expected to produce 2.2mmtpa and Ophir currently has an 80% working interest.
- Fortuna-2 DST flowed gas to surface at a constrained rate of 60 MMscfd, exceeding expectations. The implied unconstrained rate was 180 MMscfd which will reduce the number of development wells required
- Gas fiscal terms agreed with the Government of Equatorial Guinea
- Golar appointed as midstream provider
- Expected plateau production rate of 330 MMscfd
- Progress various commercial and technical workstreams ahead of FID in 1H 2017
- First gas expected 2020
expected production from the field
Ophir's current working interest.
Fortuna sits within the Block R licence, offshore Equatorial Guinea which is located in the south-eastern part of the Niger Delta complex. Ophir holds an 80% operated interest in Block R. There have been six commercial discoveries to date in Block R, five of which were made by Ophir. There is a total of 3.0 Tcf of independently certified 2C contingent resource and another 0.7 Tcf of low risk prospective resource in Block R making a total of 3.7 Tcf (at November 2015) for the project planning case.
A Floating LNG development concept was selected because the gas discovered in Block R is around 99% methane with no contaminants or heavier hydrocarbons and therefore very little topside processing is required. In addition, the benign metocean conditions and proximity to European LNG markets make the FLNG concept the appropriate development option. Utilising a Golar owned LNG tanker, the Ghandria which will be converted into a Floating Liquefaction, Storage and Offloading vessel, makes the project low cost and quick to first gas. The low cost of the development ensures the project can compete with US Gulf Coast Exporters.
The project entered FEED in July 2015 and is on schedule for FID in 1H 2017 and first gas in 2020. Ophir is working closely with the midstream partner, Golar, to meet this timeframe. Production is expected to be around 330 MMscfd with a plateau of 30 years.