Continental Focus, International Reach

Equinor and XOM to Move Forward with LNG Talks

Wednesday, December 5, 2018

Equinor, formerly Statoil, is willing to move forward with talks to develop an LNG export scheme in Tanzania. The company, partnered with ExxonMobil on Block 2 in the East African country’s deepwater acreage, said it will proceed with ExxonMobil in starting talks with the government.

The talks will revolve around developing the LNG project based on deepwater offshore discoveries made by the two several years ago. The pair discovered an estimated 20 Tcf with the drilling of the Piri-1, Zafarani-1, Lavani-1, Tangawizi-1, Mronge-1, and the Lavani-2.

Media reports have Equinor revealing that Tanzania’s President John Magufuli has asked his government to begin negotiations to set out the commercial and fiscal framework for the LNG project, which could cost as much as $30 billion.