Schlumberger to take stake in Fortuna LNG project

Monday, January 25, 2016

Oilfield services giant Schlumberger has inked its second floating LNG-related deal within a space of days - this time taking a stake in a development project.

After inking a memorandum of understanding with LNG carrier and floating LNG firm Golar LNG late last week, Schlumberger has now signed an agreement with Ophir Energy.

The move agrees a deal which would see Schlumberger get a 40% stake in the Fortuna FLNG project, offshore Equatorial Guinea - a project in which Golar LNG is involved.  

The move, currently a non-binding heads of terms agreement, but one which could be extended to other projects, will see Ophir and Schlumberger work towards signing a definitive agreement some time in 2Q 2016, ahead of a final investment decision on the project.  

It would see Schlumberger reimburse 50% of Ophir's past costs in the form of a development carried interest, which is expected to cover Ophir's share of capital spending up until first sales of LNG.

Subject to a successful FID and implementation of the partnership in the Fortuna project, Schlumberger and Golar have expressed interest to extend this partnership to include other existing or potential new Ophir assets in the future.

Friday's MOU with Golar LNG saw Schlumberger and Golar LNG agree to co-operate on the global development of greenfield, brownfield and stranded gas reserves. 

Under the MOU, Golar and Schlumberger have agreed to jointly market gas monetization solutions to owners, investors and governments. Golar will contribute the floating LNG assets and technology while Schlumberger, via its special project management division, will provide upstream development knowledge, resources and capital.

The intention of this integrated offer is to gain access to a wide range of uneconomic gas reserves by delivering low-cost LNG production solutions.

Read more

Schlumberger, Golar LNG enter MOU

Categories: LNG FPSO Africa FLNG

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