Total, Benin sign gas supply agreement for LNG

25th July 2019

By: Simone Liedtke

Creamer Media Social Media Editor & Senior Writer

     

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Petrochemicals company Total, the Republic of Benin and Société Béninoise d’Energie Electrique have signed a gas supply agreement and a host government agreement for the development of a liquefied natural gas (LNG) import floating terminal and the supply of up to 500 000 t/y of regasified LNG from Total’s global portfolio to Benin for 15 years, starting in 2021.

Total will develop and operate the regasification infrastructure that will comprise a floating storage and re-gasification unit (FSRU) offshore Benin and an offshore pipeline connection to the existing and planned power plants in Maria Gléta.

Total gas senior VP Laurent Vivier on Thursday said this project was in line with Total’s strategy to develop new gas markets by unlocking access to LNG for fast-growing economies.

“We are very pleased to have been entrusted by the Benin authorities to develop LNG imports and support a broad adoption of natural gas in the country,” she said.

She added that access to LNG would help Benin to meet growing domestic energy demand and add more natural gas to the country’s current energy mix.

Benin Energy Minister Dona Jean-Claude Houssou also congratulated the company on “its willingness to support the revitalisation of the energy sector, which is at the heart of the [Benin] government’s action plan”.

Houssou further highlighted the Benin government’s efforts to restore the country’s energy independence, which was said to be at the foundation of the country’s economic and social development.

“The new legislative framework fosters the participation of private capital in the energy sector and is manifested in independent thermal, solar and hydroelectric power generation projects,” he added.

The gas import project will supply plants in Benin, such as the new 127 MW power station at Maria Gléta, with imported LNG, on preferential terms and “will position Benin as the crossroads for gas and electricity in the subregion”.

The agreements are subject to conditions precedent.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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