(WO) — ExxonMobil has awarded McDermott Energy Solutions a letter of intent (LOI) for limited engineering and procurement services supporting the Rovuma LNG Phase 1 development in Mozambique, marking another step toward a final investment decision expected later this year.
The award was issued by ExxonMobil Moçambique on behalf of the Area 4 partners to the SMDC joint venture, comprising McDermott, Saipem, Daewoo Engineering & Construction and China Petroleum Engineering & Construction Corp. (CPECC).
The work will support continued project definition and planning as the partners advance the onshore LNG development toward FID. McDermott said it previously completed front-end engineering and design (FEED) for the project.
Rovuma LNG is planned as a 12-train modular liquefaction development with a production capacity of 18.6 million tonnes per year (Mtpa). Startup is targeted for 2031, and the project represents ExxonMobil’s largest single investment.
“Our work on Rovuma LNG builds on McDermott’s established LNG expertise in Mozambique and our disciplined approach to execution,” said Michael McKelvy, chairman and CEO of McDermott.
Engineering for the liquefaction modules and other inside battery limits (ISBL) facilities will be executed from McDermott’s offices in London and Gurgaon, with project management provided through the SMDC joint venture in Milan.
McDermott said the project is expected to generate significant long-term economic benefits for Mozambique while strengthening the country’s position as a major global LNG supplier.
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