Natural gas is an integral part of the global energy story accounting for 25% of the global energy that is consumed. With a total proven natural gas resource estimated to be about 600 trillion CFT (ft3), the opportunities for natural gas in Africa are enormous. With the addition of Train-7 and the increase in production capacity, NLNG will stand a chance to maintain its position as the sixth major supplier of LNG, globally. The project is anticipated to create more than 12,000 new jobs directly, and more than 40,000 indirectly, particularly during the construction stage.
While COVID-19 has the potential to limit some of the project activities that can be carried out for a period of time, this is not expected to affect the overall cost of the project significantly. The Engineering, Procurement, and Construction (EPC) contract for Train-7 is progressing well under the approved COVID-19 restricted contractor’s decision strategy and various stakeholder engagements have been initiated to ensure that any possible unforeseen risks are mitigated. When it comes to the volatility in global oil and gas prices, with lower oil prices, there are also opportunities. As 2020 has become a year of survival, and companies started operating in crisis mode, this has enabled us to have more control of our costs and make prudent calls to keep the business afloat.
The ADIPEC Energy Dialogue is a series of weekly online thought leadership events created by DMG events, organizers of the annual Abu Dhabi International Exhibition and Conference. Featuring key stakeholders and decision-makers in the oil and gas industry, the dialogues focus on how the industry is evolving and transforming in response to the rapidly changing energy market.