Gas

Chariot plans to sell initial volumes of up to 3 mmscfd for an upcoming CNG plant that Vivo Energy has in mind. (Image source: Adobe Stock)

The Loukos field onshore Morocco can be tapped for a gas-to-industry set up, thanks to a Heads of Terms agreement between the license's operator Chariot Limited and pan-African fuel distributor Vivo Energy 

This will positively impact the growing industrial energy needs of the region through domestic gas commercialisation and the creation of a midstream compressed natural gas (CNG) partnership. "Natural gas is a key component of the energy equation aimed at decarbonising Morocco, as defined by His Majesty the King. This project fully aligns with this ambition and meets the needs expressed by Moroccan industrial stakeholders," said Matthias de Larminat, Vivo Energy Maroc's managing director. 

Vivo Energy's pan-African presence has strengthened even more since its recent acquisition of Engen from Petronas. 

Unlocking Loukos potential

Depending on Loukos yield, Chariot plans to sell initial volumes of up to 3 mmscfd for an upcoming CNG plant that Vivo Energy has in mind. The company wishes to design, build and operate the plant as a virtual distribution network to transport natural gas in Morocco. A special purpose vehicle (SPV), which leaves scope for a 49% investment from Chariot, will be deployed to bring forth the initiative. 

With the first drilling campaign completed on Loukos, Chariot is currently focusing on flow test operations at the OBA-1 well. Reprocessed 2D and 3D seismic data that resulted from the drilling suggests further gas resources in existing undeveloped gas discoveries. These data are now being integrated to update the understanding of this resource potential. 

While Chariot enjoys a 75% share as operator of the onshore license, Morocco's national oil company National Office of Hydrocarbons and Mines - ONHYM owns another 25%.

With CNG revenue anticipated to cross around US$3.5bn by 2033, Vivio's CNG virtual pipeline infrastructure plan offers a promising prospect for Chariot. Pierre Raillard, Chariot Morocco's managing director, said, “We are delighted to extend our collaboration with Vivo Energy into the onshore, which benefits both of us as partners and aims to instigate further development of Morocco’s gas network. This agreement sets out a path where we can look to rapidly commercialise future production from Loukos, potentially unlocking the development of pre-existing gas discoveries as well as the OBA-1 well and enabling organic growth through future exploration. This will be undertaken in coordination with our upstream partner ONHYM with an initial focus on the existing markets. It will also leverage our gas production to support Vivo’s wider development of CNG virtual pipeline infrastructure and, as part of a potential midstream partnership, Chariot could have direct exposure to not only Loukos sales but also gas distribution income in country from a wider pool of sources.”

The FPSO vessel is currently being moored at the site 40km offshore in a water depth of 120m. (Image source: bp)

The floating production storage and offloading (FPSO) vessel, a key component of the Greater Tortue Ahmeyim (GTA) Phase 1 LNG development, has arrived at its final location offshore on the maritime border of Mauritania and Senegal

The FPSO vessel is currently being moored at the site 40km offshore in a water depth of 120m. It will be operated by bp, on behalf of the project’s partners: bp, Kosmos Energy, PETROSEN and SMH. The project will produce gas from reservoirs in deep water, approximately 120km offshore, through a subsea system.

Following completion of its construction at the COSCO Qidong Shipyard, China, the FPSO has travelled more than 12,000 nautical miles to the GTA site.

“bp is investing in today’s energy system - and tomorrow’s too, and GTA Phase 1 represents this investment in action,” said Dave Campbell, bp’s senior vice president, Mauritania and Senegal.

“And this is a huge landmark step for the project, an innovative LNG development that is leading the way in unlocking gas resources for Mauritania and Senegal. The FPSO vessel has travelled halfway around the globe and its safe arrival and installation is testament to the resilience, skills, teamwork and huge effort of all the partners involved. We are now entirely focused on safe completion of the project as we continue to work towards first gas.”

The GTA Phase 1 development is expected to produce around 2.3 million tonnes of LNG annually for more than 20 years. It is the first gas development in this new basin offshore Mauritania and Senegal. With wells located in water depths of up to 2,850m, the GTA Phase 1 development has the deepest subsea infrastructure in Africa. The multibillion-dollar investment has been granted the status of National Project of Strategic Importance by the Presidents of both Mauritania and Senegal.

The FPSO will have up to 140 people on board during normal operation. With an area equivalent to two football fields and 10-storeys in height, the FPSO is made of more than 81,000 tonnes of steel, 37,000m of pipe spools and 1.52 million meters of cable.

The FPSO is expected to process over 500 million standard cubic feet of gas per day. It will remove water, condensate and impurities from the gas before transferring it via pipeline to the Floating Liquified Natural Gas (FLNG) vessel at the Hub Terminal approximately 10km offshore. At the FLNG vessel, the gas will be cryogenically cooled, liquefied and stored before being transferred to LNG carriers for export, while some is allocated to help meet growing demand in the two host countries.

Fluenta's mission to help operators comply with environmental regulations is complemented by SEGITEC's expertise in providing value-added services. (Image source: Adobe Stock)

Innovations provider Fluenta has partnered with control and instrumentation solutions integrator SEGITEC to introduce its ultrasonic sensing technology for flare gas control to operators from North Africa

With a well-established presence in the North African market, the deal makes SEGITEC the region's official distributor of Fluenta's services. Fluenta's advanced flare management services have been installed in Nigeria's Dangote Refinery as well. 

"We are excited to partner with Fluenta, a company that shares our vision for a sustainable future," said Omar Ben Ayed, SEGITEC's CEO. "This partnership is a significant milestone, as it allows us to offer energy companies in North Africa and Gabon the best-in-class solutions to meet tightening environmental standards. Together, we are committed to empowering the region's oil, gas, and petrochemical industries to achieve their environmental goals while maintaining operational excellence."

Supporting operators

In line with the Paris Agreement, reducing greenhouse gas emissions and minimising environmental impact are top priorities for petrochemical and oil and gas companies, and flare management forms a significant part of it. Majors such as BakerHughes and bp had introduced the flare.IQ technology earlier this year to monitor emissions from flares. 

Algeria has committed to reducing its greenhouse gas (GHG) emissions by 22% by 2030, Tunisia increased its ambition in the revised National Determined Contribution (NDC) by setting a conditional emissions reduction target of 45% below 2010 levels by 2030, and Gabon included a 50% reduction in greenhouse gas emissions by 2025. 

Fluenta's technology is capable of further complementing these goals with its real-time data configuration for prompt identification and action to block emmissions. It supports operators with regulatory compliance, operational optimisation, and safety. 

Julian Dudley-Smith, Fluenta managing director said, "Fluenta's mission to help operators comply with environmental regulations is complemented by SEGITEC's expertise in providing value-added services, which include project management, engineering, commissioning, operations, and maintenance. The partnership will support operators' decarbonisation plans, enhance environmental credentials, and ensure compliance with regulations and safety standards."

SEGITEC and Fluenta will be displaying at NAPEC 2024 from 14-16 October in Algeria.

The signing ceremony included the CEOs of Baker Hughes, SONATRACH and MAIRE, and the Minister of Energy and Mines. (Image source: Baker Hughes)

In an effort to boost production from Hassi R’Mel gas field 550 km south of Algiers, SONATRACH has signed a contract with Baker Hughes

The energy technology company will supply 20 compression trains based on Frame 5 gas turbine and BCL compressor technology will be installed across three gas boosting stations within the Hassi R’ Mel gas field. 

This comes as part of the Mattei Plan, a broader strategic collaboration across industries between Algeria and Italy. Italy has assured financial support for Algeria's gas production, which is the European nation's biggest single source of import. 

In 2023, Bloomberg NEF recognised Algeria as the second-largest gas supplier to Europe. The country has introduced multiple gas boosting stations to hold its title on the global energy market, while embracing natural gas as its prime energy source for socio-economic development. In June last year, TotalEnergies signed contract with SONATRACH to develop gas resources in the north-east Timimoun region. The oil major has also extended its LNG contract with SONATRACH till 2025 to access 2 mn tonnes of LNG for France and Europe.  

The largest gas field in Algeria, Hassi R’ Mel is equipped to not just meet domestic demands but also serves as key source of energy supply for Europe. At more than 20 trillion cu/m, shale gas is a lucrative investment opportunity for Algeria which falls under SONATRACH's long-term development plans as the company's vice president for planning and strategy, Rachid Zerdani noted last year. 

Baker Hughes responsibilities on Hassi R’ Mel will include boosting and stabilising the pressure of natural gas to increase production at site. Its facility in Italy will be the base for all project activity from compressor trains packaging and manufacturing to trains testing. This comes as a sub-contract of an order awarded to a consortium between Baker Hughes and technology and engineering group MAIRE-subsidiary Tecnimont. 

Reliable energy source for Europe

“We have long believed that it is critical to increase gas within the overall global energy mix to help achieve a lower-carbon economy. This project helps to solve for energy producers’ multi-faceted challenge of driving sustainable energy development as energy demand increases. We are proud to support such a critical energy project in partnership with Tecnimont,” said Lorenzo Simonelli, chairman and CEO of Baker Hughes. 

“Today’s announcement marks a notable milestone in our historical collaboration with SONATRACH for key energy projects in Algeria that have played a crucial role in supplying reliable energy to Europe,” said Simonelli on the occasion of contract signing, which also included Rachid Hachichi, CEO, SONATRACH; Alessandro Bernini, CEO, MAIRE, and the Minister of Energy & Mines, Mohamed Arkab.