May 2025, Vol. 252, No. 5
Global News
Global News May 2025
Penspen Revisits 2,485-Mile Trans-Saharan Pipeline
Penspen has been awarded a contract to update the feasibility study for the Trans-Saharan Gas Pipeline (TSGP), a major infrastructure project aimed at transporting natural gas from Nigeria to Europe through Niger and Algeria.
The pipeline, spanning more than 2,485 miles (4,000 km), is a joint initiative by the Nigerian National Petroleum Company (NNPC) Limited, Algeria’s Sonatrach and Sonidep SA of Niger. Once operational, the pipeline would carry up to 30 Bcm of natural gas annually across West and North Africa, with the potential to connect to European markets.
The TSGP is designed to boost regional energy access, enhance economic ties between participating countries, and strengthen global energy security. It also aims to reduce reliance on single-source suppliers by offering an alternative gas supply route to Europe.
“The award of the feasibility study of this high-impact project underscores Penspen’s expertise in large-scale energy infrastructure development and our commitment to advancing strategic initiatives that drive economic growth and regional stability,” said Arun Behl, marketing director for the Middle East and Africa at Penspen.
The project originated in 2002 as a collaboration between Nigeria and Algeria, with Niger joining in 2008. Penspen completed the original feasibility study in 2006, which found the pipeline to be both technically and economically viable.
By tapping into Nigeria’s large natural gas reserves and those of neighboring countries, the TSGP could contribute significantly to Africa’s energy independence. The pipeline is also viewed as a strategic link to Europe, helping diversify supply and mitigate geopolitical risk.
Penspen has experience delivering infrastructure projects across Africa, including its work on the over 3,728-mile 6,000-km) Nigeria–Morocco Gas Pipeline (NMGP). That project included feasibility and early-stage engineering studies for ONHYM and NNPC Limited.
BP Approves Trinidad Project to Aid in Atlantic LNG Output
BP gave final approval to its Ginger gas development in Trinidad and Tobago, it said, one of 10 new projects listed by CEO Murray Auchincloss as essential to the company’s renewed focus on oil and gas.
Ginger, which will be tied back to one of BP’s existing 12 platforms off Trinidad’s East Coast, is scheduled to begin production in 2027, reaching a capacity of 62,000 boe/d, BP said.
The Trinidad and Tobago government encouraged BP and other producers boost natural gas production in order to meet the demand of its Atlantic LNG and its petrochemical plants. BP is a 45% owner of Atlantic LNG, which produced 8.5 mtpa of its 12.5 mtpa capacity due to a lack of available gas.
“The Ginger development, as well as bpTT’s Cypre gas project, scheduled to start up in 2025, are part of bpTT’s strategy of maximizing production from existing acreage,” BP said in a statement.
BP said it also discovered gas at its Frangipani well, offshore Trinidad, which is in the same geological structure as Ginger. The company said it is looking at how it can quickly move the discovery forward.
EACOP Secures First Funding for Uganda-Tanzania Pipeline
The company developing Uganda’s EACOP crude pipeline has closed the first allocation of external financing from a syndicate of institutions, which include commercial banks and Afreximbank, a statement from EACOP Ltd said.
A source briefed on the financing arrangement told Reuters that financiers are committed to fund the entire $5 billion project, with Chinese backing also secured.
"Oil companies that are already involved will take both equity and debt. The Chinese are in," the source said.
Among the financiers are Standard Bank, Stanbic Bank Uganda, KCB Bank Uganda and Saudi Arabia’s Islamic Corporation for the Development of the Private Sector.
“The successful closing of this first tranche represents a significant milestone,” the statement said. It did not provide a value for the financial backing.
In October, Uganda’s energy minister told Reuters that partners developing the $5 billion East African Crude Oil Pipeline (EACOP) were injecting more cash into the project.
Cheniere Completes First Train for Corpus Christi Stage 3
Cheniere Energy achieved substantial completion of Train 1 at its Corpus Christi Stage 3 Liquefaction Project. With commissioning now complete, Bechtel Energy has handed over control of the train and associated systems to Cheniere.
Going forward, financial results from LNG sales from Train 1 will be reflected in Cheniere’s operations.
“The substantial completion of the first train of CCL Stage 3 – ahead of schedule and on budget – marks another important milestone for Cheniere and further builds upon the track record of excellence in execution consistently delivered by the Cheniere and Bechtel teams,” said Cheniere president and CEO Jack Fusco.
Cheniere issued a full notice to proceed on the project in June 2022. First LNG production from Train 1 began in December 2024, and the first cargo was loaded in February 2025. The Corpus Christi Stage 3 project consists of seven midscale trains, expected to produce over 10 million tonnes per annum (mtpa) of LNG.
As of Jan. 31, the project was 78.3% complete, with engineering at 97.6%, procurement at 97.2%, subcontract work at 88.8%, and construction at 45.5%. Once all seven trains are operational, the total production capacity at Corpus Christi will exceed 25 mtpa.
Woodside Proceeds with $17.5 Billion Louisiana LNG Project
Woodside Energy took the final investment decision on an LNG project in Louisiana, flagging a capex of about $17.5 billion.
The investment will help the Australian company deliver about 24 Mtpa from its worldwide LNG portfolio in the next decade, contributing to over 5% of global LNG supply, it said.
The announcement came at a time when Woodside said it was assessing the impact of U.S. tariffs and other trade measures on its Louisiana project as it moved toward a final go-ahead.
The project’s three separate processing units with a 16.5 mtpa capacity, are expected to start producing in 2029. The project could add two additional trains, raising the capacity to 27.6 mtpa.
Stonepeak, an investor in the Louisiana LNG Infrastructure LLC, will provide $5.7 billion of the expected capex on an accelerated basis, placing Woodside’s capex share at $11.8 billion, Reuters said.
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