Total confirmed on Friday that a consortium led by the French energy giant has been awarded the rights to build and operate a liquefied natural gas (LNG) import terminal in Ivory Coast.
To remind, Reuters reported on this deal back in October saying that a Total-led consortium would be formed to develop the LNG terminal.
The consortium called CI-GNL (Ivory Coast LNG) has now officially been set up and it aims to build a re-gasification terminal with a capacity of 3 million tons per year.
The project involves the construction of a terminal with a floating storage and re-gasification unit (FSRU) in Vridi, Abidjan area, and a pipeline connecting the FSRU to existing and planned power plants in Abidjan, as well as to regional markets connected to the Ivorian network.
This will enable Ivory Coast to become the first regional LNG import Hub in West Africa, and to meet both regional and domestic demand, Total said in a statement.
The decision announced by the Government of the Ivory Coast on October 4th was followed by the signature of the shareholders’ agreement in Abidjan between Total, which will operate the project with a 34% interest, national companies PetroCI (11%) and CI Energies (5%) as well as SOCAR (26%), Shell (13%), Golar (6%) and Endeavor Energy (5%).
Total said in the statement it will use the terminal to supply LNG volumes from its global portfolio in proportion to its participating interest in the project.
“This project illustrates Total’s strategy to develop new gas markets by unlocking access to LNG for fast-growing economies. Working closely with our partners enabled us to put together an integrated proposal combining LNG supply and import infrastructure through a floating storage and re-gasification unit,” said Philippe Sauquet, President Gas, Renewables and Power of Total.
The re-gasification terminal project is expected to become operational by mid 2018.