Fortuna FLNG Terminal
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Fortuna FLNG project is a proposed floating LNG terminal off the coast of Equatorial Guinea. It is presumed to be shelved as of 2025.
Location
This map shows the approximate location of block EG-27, formerly named Block R, the location of the FLNG project, in the territorial waters of Equatorial Guinea.
Project Details
Original Project
- Owner: Lukoil[1]
- Previous Owners: Ophir Energy (33.8%), Golar LNG (33.1%), Schlumberger (33.1%)
- Vessel Owner: Golar LNG[2]
- Location: Block EG-27, formerly named Block R, offshore Equatorial Guinea[3]
- Coordinates: 3.2, 7.6 (approximate)
- Type: Export[3]
- Trains: 4[3]
- Capacity: 2.5 mtpa, 0.36 bcfd[3]
- Status: Cancelled[4]
- Start Year: 2020[3]
Re-proposed Project
- Owner: Golar LNG[2]
- Location: Block EG-27, formerly named Block R, offshore Equatorial Guinea[2]
- Coordinates: 3.2, 7.6 (approximate)
- Type: Export[2]
- Status: Shelved (presumed)
- Cost: US$1.5 billion[2]
Background
Original Project
In 2016, the UK-based oil & gas exploration company Ophir Energy and OneLNG (a joint venture of Norwegian LNG company Golar LNG and U.S. oilfield services company Schlumberger) developed a proposal to build a floating liquefied natural gas (FLNG) terminal in Equatorial Guinea's Block R, off the southwest coast of Bamako Island. The terminal would consist of four production trains, and have a capacity of 2.5 million tons per year (mtpa), or 0.36 billion cubic feet per day (bcfd). It was expected to start production in 2020.[3]
Block R contains a total of 2,600 billion cubic feet of gas. The project would cost $2 billion.[3][5][6]
In May 2017, the three sponsoring companies signed an agreement with GEPetrol (Compañía Nacional De Petróleos De Guinea Ecuatorial), Equatorial Guinea's state-owned oil & gas company, establishing a legal framework for the project. Under the agreement, Equatorial Guinea has the right of ownership of up to 30% in the FNLG vessel. Also in May, Ophir awarded the construction contract for conversion of the LNG vessel Gandria to the Keppel Corporation's shipyard in Singapore.[7] The project's sponsors were still negotiating with Chinese lenders; once those negotiations were finished, the sponsors hoped to issue their final investment decision (FID).[8]
In March 2018, Ophir postponed the project commissioning from 2020 to 2022 due to the withdrawal of the three Chinese banks that should 60% of the money required for financial closure of the project.[9]
The project ran into further trouble in May of 2018 after U.S. oil services company Schlumberger pulled out of the venture.[10]
In January 2019, the project was officially cancelled. According to the Petroleum Economist, reasons for the cancellation were two-fold. First, Equatorial Guinea decided not to extend Ophir Energy's license on offshore block R, essentially cancelling the project. Equatorial Guinea's energy ministry made it clear they were running out of patience with Ophir and pulled the plug. Second, Ophir is currently in talks about a possible takeover by Indonesia's Medco Energi. The company was unable to overcome the financing vacuum left by the failure to strike a deal with Chinese backers in 2017-2018. The problem was compounded by the mid-2018 departure of Schlumberger from the Fortuna venture and OneLNG.[4]
Re-proposed Project
In November 2019 Lukoil was awarded block EG-27, formerly named Block R. This was the same license formerly held by Ophir Energy for the development of the FLNG project. Ophir ran out of time for its plans to commercialize the gas resource and lost the license at the end of 2018.
In March 2022, Upstream reported that New Fortress Energy and Golar LNG were seeking to develop block EG-27. It was unclear if Lukoil is still a partner in the project.[2]
In January 2023, Upstream reported that Kosmos was under consideration by Equatorial Guinea's government to lead the project.[11]
Equatorial Guinea's government was once again in talks with Golar LNG as of September 2023, with no progress since.[12]
As of 2025, there have been no updates in two years and the project is presumed to be shelved.
Articles and resources
References
- ↑ Ed Reed, Equatorial Guinea dishes out licences, Energy Voice, November 27, 2019
- ↑ 2.0 2.1 2.2 2.3 2.4 2.5 Esau (i_esau), Iain; Helgesen (o_helgesen), Ole Ketil; Yihe (x_yihe), Xu; Afanasiev (v_afanasiev), Vladimir (2022-03-15). "Billionaires band together to revive FLNG project in Equatorial Guinea | Upstream Online". Upstream Online | Latest oil and gas news. Retrieved 2022-05-31.
- ↑ 3.0 3.1 3.2 3.3 3.4 3.5 3.6 Fortuna FLNG brochure, Ophir Energy website, accessed June 2017.
- ↑ 4.0 4.1 Ophir’s Fortuna FLNG finally bites the dust, Petroleum Economist, January 11, 2019
- ↑ Fortuna FLNG, Ophir Energy website, accessed June 2017.
- ↑ The LNG Industry: Annual Report 2017, International Group of Liquefied Natural Gas Importers, accessed June 2017.
- ↑ Golar commissions Keppel for Fortuna FLNG vessel conversion, Offshore, 10 May 2017.
- ↑ Fortuna FLNG umbrella agreement signed, LNG World News, 2 May 2017.
- ↑ "Ophir Energy delays Fortuna LNG project (Equatorial Guinea) to 2022". Enerdata. Retrieved 2025-06-24.
- ↑ Sabina Zawadzki,Equatorial Guinea LNG project stumbles as Schlumberger quits, Reuters, MAY 31, 2018
- ↑ "Kosmos tipped to operate FLNG project in Equatorial Guinea". Upstream Online | Latest oil and gas news. 2023-01-16. Retrieved 2023-08-22.
- ↑ Staff, LNG Prime (2023-09-04). "Golar in FLNG talks with Equatorial Guinea". LNG Prime. Retrieved 2024-07-17.
