Barring any last minute shocks, French oil and gas giant, Total and the Republic of Benin through its energy department, the Société Béninoise d’Energie Electrique (SBEE) have signed a 15-year gas supply agreement using LNG import floating terminal.
The 15-year supply of up to 0,5 million tons per annum (Mtpa) of regasified LNG from Total’s global portfolio to Benin, is expected to start from 2021.
Key condition of the understanding is that Total will develop and operate the regasification infrastructure that will comprise a floating storage and re-gasification unit (FSRU) located offshore Benin and an offshore pipeline connection to the existing and planned power plants in Maria Gléta.
Explaining more, Laurent Vivier, Senior Vice President Gas at Total, said “This project is 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.”
“Access to LNG will help Benin to meet growing domestic energy demand and add more natural gas to the country’s current energy mix, hence reducing its carbon intensity.”
Responding, Béninoise Minister of Energy of Benin, Dona Jean-Claude Houssou, congratulated the Total Group on its willingness to support the revitalisation of the energy sector, which is at the heart of the government’s Action Plan (PAG)… “I would like to highlight the government’s efforts to restore Benin’s energy independence, which is the foundation of the country’s ambitious economic and social development”.
World Maritime News reports that though the agreement remains subject to conditions precedents, the Minister averred that “The gas import project will supply plants in Benin, such as the new 127 MW power station at Maria Gléta, with imported liquefied natural gas, on preferential terms and will position Benin … as the crossroads for gas and electricity in the sub region.”
