Oman: TotalEnergies Signs Agreements for the Development of Low Carbon Natural Gas Projects

Rhea-AI Summary

TotalEnergies (Euronext: TTE) has entered significant agreements with the Ministry of Energy and Minerals of Oman aimed at sustainable natural gas development. Key elements include the formation of Marsa LNG, a joint venture in which TotalEnergies holds 80%, focusing on a low-carbon LNG plant powered by solar energy. Additionally, a concession agreement for Block 10 will see Marsa LNG produce about 24,000 barrels of oil equivalent per day (boe/d) in 2023, with a lengthy Gas Sales Agreement to supply natural gas to the Omani government.

Positive

• Formation of Marsa LNG joint venture with 80% ownership, enhancing market position.
• Expected production of approximately 24,000 boe/d from Block 10 in 2023.

Negative

• None.

PARIS--(BUSINESS WIRE)-- Regulatory News:

TotalEnergies (Paris:TTE) (LSE:TTE) (NYSE:TTE) has signed with the Ministry of Energy and Minerals of the Sultanate of Oman a series of agreements for the sustainable development of the country’s natural gas resources. These agreements include:

• The establishment of Marsa LNG, an integrated company between TotalEnergies (80%) and Oman National Oil Company, OQ (20%). Marsa LNG will produce natural gas from Block 10, with a view to subsequently develop a low-carbon LNG plant in Sohar, powered by solar electricity, for the production of LNG for bunker fuel.

• A concession agreement for Block 10, to develop and produce natural gas from this block. Marsa LNG will hold a 33.19% interest in Block 10, together with its partners OQ and Shell Integrated Gas Oman B.V. (operator). TotalEnergies’ production from Block 10 is expected to reach approximately 24,000 boe/d in 2023.

• A Gas Sales Agreement, under which Marsa LNG will sell natural gas from Block 10 to the Government of Sultanate of Oman, for a duration of 18 years or until the start-up of Marsa LNG plant.

“We are pleased to sign these agreements with the Sultanate of Oman and further develop our activities in the country while contributing to develop its energy sector in a more sustainable manner”, said Laurent Vivier, Senior Vice President Middle East and North Africa, Exploration and Production, at TotalEnergies.

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About TotalEnergies EP in Oman
In Oman, the Company’s production was 39 kboe/d in 2020. TotalEnergies produces oil in Block 6 (4%), as well as LNG through its participation in the Oman LNG (5.54%)/Qalhat LNG (2.04% via Oman LNG) liquefaction complex with an overall capacity of 10.5 Mt/y. In 2020 TotalEnergies also signed an Exploration Production Sharing Agreement for Block 12 with the Ministry of Energy and Minerals. TotalEnergies is operator of Block 12 covering 10,000 km² with a 80% share alongside its partner PTTEP of Thailand (20%).

TotalEnergies second largest private global LNG player
TotalEnergies is the world's second largest privately owned LNG player, with a global portfolio of nearly 50 million tons per annum (Mtpa) by 2025 and a global market share of around 10%. The Company benefits from strong and diversified positions throughout the LNG value chain: gas production and liquefaction, LNG transportation and trading, and contribution to the development of the LNG industry for maritime transport. Through its interests in liquefaction plants in Qatar, Nigeria, Russia, Norway, Oman, Egypt, the United Arab Emirates, the United States, Australia and Angola, the Company markets LNG on all world markets.

About TotalEnergies
TotalEnergies is a global multi-energy company that produces and markets energies: oil and biofuels, natural gas and green gases, renewables and electricity. Our 105,000 employees are committed to energy that is ever more affordable, cleaner, more reliable and accessible to as many people as possible. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the heart of its projects and operations to contribute to the well-being of people.

Twitter: @TotalEnergies LinkedIn: TotalEnergies Facebook: TotalEnergies Instagram: TotalEnergies

Cautionary Note
The terms “TotalEnergies”, “TotalEnergies company” or “Company” in this document are used to designate TotalEnergies SE and the consolidated entities that are directly or indirectly controlled by TotalEnergies SE. Likewise, the words “we”, “us” and “our” may also be used to refer to these entities or to their employees. The entities in which TotalEnergies SE directly or indirectly owns a shareholding are separate legal entities. TotalEnergies SE has no liability for the acts or omissions of these entities. This document may contain forward-looking information and statements that are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TotalEnergies SE nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise. Information concerning risk factors, that may affect TotalEnergies’ financial results or activities is provided in the most recent Registration Document, the French-language version of which is filed by TotalEnergies SE with the French securities regulator Autorité des Marchés Financiers (AMF), and in the Form 20-F filed with the United States Securities and Exchange Commission (SEC).

View source version on businesswire.com: https://www.businesswire.com/news/home/20211221005400/en/

TotalEnergies Contacts

Media Relations: +33 (0)1 47 44 46 99 l presse@totalenergies.com l @TotalEnergiesPR

Investor Relations: +33 (0)1 47 44 46 46 l ir@totalenergies.com

Source: TOTALENERGIES SE

FAQ

What agreements has TotalEnergies signed with Oman?

TotalEnergies has signed agreements for sustainable natural gas development, including the formation of Marsa LNG and a concession agreement for Block 10.

What is the expected production from Block 10 by TotalEnergies?

TotalEnergies expects to produce approximately 24,000 barrels of oil equivalent per day from Block 10 in 2023.

How long is the Gas Sales Agreement with Oman?

The Gas Sales Agreement is set for 18 years or until the start-up of the Marsa LNG plant.

What is TotalEnergies' ownership stake in the Marsa LNG venture?

TotalEnergies holds an 80% ownership stake in the Marsa LNG venture.