Eni is planning to take a Final Investment Decision (FID) on its giant Area 4 gas development offshore east Africa’s Mozambique next year, according to Stefano Maione.

The senior vice president was speaking at the Offshore Northern Seas event in Stavanger, Norway where he gave an update on the world-class deepwater project, currently in the tendering phase.

The Italian operator has gross reserves in the 13,000 sq km block estimated at more than 85 Tcf of gas in place, with the main discoveries Mamba, Coral and Agulha. Maione said that after drilling 14 wells and six drillstem tests the company had found eight reservoirs with “extraordinary sand thickness and excellent reservoir quality”, with development work currently focused on Mamba, Coral amd Agulha simultaneously, as previously reported (see DI, 10 March 2014, page 1).

Mamba and Coral in the north of the block will have multiple subsea production manifolds, trees (approximately 16 production wells), umbilicals and sea lines tied back 50 km direct to the beach for onshore liquefaction in two 5 MMtpa trains, while Agulha further to the south is being lined up for development in parallel via a 2.5 MMtpa floating LNG facility attached to a likely six production wells.

Water depths in this block in the Rovuma Basin range from 1,500- 2,500 m (4,921-8,202 ft) but this is by no means the only challenge, he pointed out, as there are also several ultra-deep canyons that mean the pipeline will have to snake its way in an intricate route to shore. Not only that, he added, but: “There are logistical, political and community challenges, too. For instance, this is the largest project ever in the country, and it requires a dedicated regulatory framework, with legislation. Yet, we don’t have one. And we have to meet environmental concerns and social challenges. We have to be responsible.”

Area 4 lies adjacent to Area 1, where Anadarko Petroleum has also made major gas finds, resulting in Eni and Anadarko working together in terms of sharing the massive onshore facilities and infrastructure required. Production, originally talked about for 2018, is more likely to now occur in late 2019 or even into 2020, DI hears.