Facility for producing LNG off Mozambique making progress

China National Petroleum Corp. (CNPC) says the assembly of a floating facility for producing and storing liquefied natural gas (LNG) off the coast of northern Mozambique is 89 per cent complete, and that it expects the facility to begin producing LNG next year.

The floating facility is being tested inshore before being deployed in the Coral gas field in the Rovuma Basin, according to a written statement issued by CNPC on Tuesday.

The Chinese state-run company says the facility can produce 3.4 million tonnes of LNG a year, and store a good deal of it for export.

CNPC says six companies are involved in putting the facility to work, including Galp Energia SA of Portugal and Mozambican state oil company Empresa Nacional de Hidrocarbonetos.

The facility is the first of its type built for work in deep water, and the first built specially for work off Africa, CNPC says.