Coral South Project in Mozambique Ships First LNG Cargo, Helps Meet Global Demand

Rhea-AI Summary

ExxonMobil has announced the first cargo of liquefied natural gas (LNG) from its $8 billion Coral South floating LNG project in Mozambique. This project is expected to produce 3.4 million metric tons of LNG annually from the Rovuma Basin. The launch of Coral South adds significant volumes to ExxonMobil's LNG portfolio, with plans to nearly double its LNG offerings by 2030. This development marks Mozambique's entry into the global LNG market and promises long-term economic benefits for the region.

Positive

• First LNG cargo from Coral South project signifies successful execution and investment.
• Expected annual production of 3.4 million metric tons of LNG enhances global supply.
• Long-term economic benefits anticipated for Mozambique from the project.

Negative

• None.

• Floating production vessel expected to produce up to 3.4 million metric tons of LNG a year
• First development to produce from Mozambique’s Rovuma Basin
• New volumes add to ExxonMobil’s expanding global LNG portfolio

IRVING, Texas--(BUSINESS WIRE)-- ExxonMobil announced the first cargo of liquefied natural gas (LNG) from the $8 billion Coral South floating LNG (FLNG) project offshore Mozambique, bringing additional LNG volumes to the global energy market.

Coral South produced its first LNG volumes in early October, following the FLNG’s on-schedule start-up. The Coral South FLNG is expected to produce 450 billion cubic meters of natural gas from the Coral reservoir in Mozambique’s Rovuma Basin — and to liquefy 3.4 million metric tons of that gas for transport, annually.

“The Coral South project will bring significant long-term economic value to the people of Mozambique,” said Peter Clarke, head of ExxonMobil’s LNG business. “Today’s first-cargo milestone is a testament to the hard work, continued investment and successful execution of our integrated consortium team. Mozambique is joining the ranks of global LNG producers and contributing to global LNG supplies at a time when the world needs it most.”

Lower-emissions LNG plays an increasingly important role in ExxonMobil’s portfolio. The company plans to nearly double its LNG offerings by 2030 as low-cost, capital-efficient projects like Coral South come online.

Coral South is operated by Eni, the Upstream Delegated Operator of the Area 4 consortium, which is comprised of Eni, ExxonMobil, CNPC, Galp, Kogas and ENH. Area 4 is operated by Mozambique Rovuma Venture S.p.A. (MRV), an incorporated joint venture owned by ExxonMobil, Eni and CNPC, which holds a 70% interest in the Area 4 Exploration and Production Concession Contract. Galp, KOGAS and Empresa Nacional de Hidrocarbonetos E.P. each hold a 10% interest.

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The corporation’s primary businesses - Upstream, Product Solutions and Low Carbon Solutions - provide products that enable modern life, including energy, chemicals, lubricants, and lower-emissions technologies. ExxonMobil holds an industry-leading portfolio of resources, and is one of the largest integrated fuels, lubricants and chemical companies in the world. To learn more, visit exxonmobil.com and the Energy Factor.

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Cautionary Statement:

Statements related to outlooks; projections; descriptions of strategic, operating, and financial plans and objectives; statements of future ambitions and plans; and other statements of future events or conditions, are forward-looking statements. Actual future results, including project plans, schedules, costs, returns, and capacities; ultimate recoveries; operating performance and demand projections could differ materially due to changes in market conditions affecting the oil and gas industry or long-term oil and gas price levels; political or regulatory developments; reservoir performance; timely completion of development projects; technical or operating factors; the outcome of future commercial negotiations, including final agreed terms and conditions; unforeseen technical or operating difficulties and unplanned maintenance; and other factors discussed under the heading "Factors Affecting Future Results" in the Investor Information section of our website (www.exxonmobil.com) and in Item 1A of our most recent Form 10-K. References to quantities of gas include volumes that are not yet classified as proved reserves under SEC rules but that we believe will be produced in the future. The term "project" as used in this release can refer to a variety of different activities and does not necessarily have the same meaning as under any government payment transparency reports.

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Source: Exxon Mobil Corporation

FAQ

What is the Coral South project by ExxonMobil?

The Coral South project is a floating LNG project in Mozambique, expected to produce 3.4 million metric tons of LNG annually.

When did ExxonMobil announce the first LNG cargo from Coral South?

ExxonMobil announced the first LNG cargo from the Coral South project in early October.

What is the expected annual production of LNG from Coral South?

The Coral South project is expected to produce 3.4 million metric tons of LNG annually.

How much did the Coral South LNG project cost?

The Coral South LNG project cost approximately $8 billion.

What impact does the Coral South project have on Mozambique?

The Coral South project is expected to bring significant long-term economic value to the people of Mozambique.