New Orleans – U.S. independent oil and gas explorer, Anadarko Petroleum has sold two-thirds of the capacity of its planned Mozambique liquefied natural gas (LNG) project to Asian customers and hopes to have the rest sold soon, its chief executive said on Monday.
The company is the primary operator of Mozambique’s Rovuma Offshore Area 1, which is estimated to hold more than 65 trillion cubic feet of natural gas.
LNG, gas chilled to liquid form for sea transport, is a key fuel source and many Asian nations have been hungry to find steady sources.
To develop massive LNG projects though, financiers often require customers to be lined up well in advance.
“We think we have financially de-risked the project,” Anadarko chief executive Al Walker said in an interview at the Howard Weil energy conference in New Orleans.
“We expect to make a final investment decision on the project later this year.”
Walker said he expects the remaining third of the Mozambique capacity to be sold to Asian customers, not European customers, despite recent tensions between Europe and Russia over Ukraine.