Ophir Energy finalised commercial terms and is in the process of signing heads of agreement for LNG offtake from the Fortuna FLNG project in Equatorial Guinea.
Ophir expects that all of the HoAs with a shortlisted group of counterparties will have been signed by the end of November, according to a company report issued on Wednesday.
Th UK-based company will shortlist one or two LNG buyers with whom to sign full sales & purchase agreements in the first quarter of 2016, staying on track for the planned project final investment decision in mid-2016.
Nick Cooper, Chief Executive Officer of Ophir, said, “The finalisation and signing of heads of agreement for the offtake with leading LNG players, is another major step in derisking the project on the run to FID.”
He added that the agreements are for a total demand several times greater than the available offtake volume.
To Cooper, the demand does not come as a surprise because the project can deliver volumes into both the Atlantic and Pacific Basins in the top quartile of greenfield LNG project economics.
LNG World News Staff; Image: Ophir Energy