London, UK | – Ghana National Petroleum (GNPC) has signed heads of terms with Quantum Power, the pan-African energy infrastructure investment platform, for the construction of the liquefied natural gas (LNG) storage, regasification and delivery facilities at Tema, Ghana.
The Tema LNG project is designed to have capacity to receive, store, re-gasify and deliver about 3.40 million tons of LNG per year, equivalent to 500 million standard cubic feet of gas per day.
Additionally, the project comprises a floating storage and regasification unit (FSRU) moored off-shore Tema and an associated sub-sea and onshore pipeline to deliver the LNG to GNPC customers.
The $550m Tema LNG project will be implemented on a build-own-operate-transfer (BOOT) basis for 20-year term. The project ownership will be later transferred to GNPC.
GNPC CEO Alexander Mould said: “As the national gas sector aggregator, GNPC is leading Ghana’s efforts to develop the gas-to-power value chain supporting the Government’s vision of energy security for accelerated economic growth.
“The Tema LNG Project is a critical component in achieving this vision as it allows for the diversification of fuel supply sources, enhancing flexibility and reliability.
“It guarantees GNPC contracted capacity of 250 million standard cubic feet of gas per day, for regasification of competitively priced LNG.”
Scheduled to be commissioned by the end of 2016, the Tema LNG project is expected to meet Ghana’s growing energy demand and supply reliable and clean fuel for power generation in the country.
Under development since three years, the Tema LNG project will address the specific maritime challenges in the Gulf of Guinea while ensuring optimal year-round operability.
Located 12km off Tema’s shore, the terminal allows for cost-efficient refueling and regasification without affecting maritime and port traffic.
Quantum Power CEO Matty Vengerik said: “The project will spur directly and indirectly technology and know-how transfer, and maritime and energy employment opportunities, in addition to its highly leverageable indirect contribution to economic activity and employment in the country.”