Congo Brazzaville is making a strategic move in the global energy sector by leveraging its natural gas reserves to enter the LNG market, aiming to boost economic growth and reduce environmental harm from gas flaring.
This initiative positions the country as an emerging key player in the international LNG landscape, demonstrating a commitment to sustainable resource management, according to EIA.
Transition to LNG Exporting: The Republic of the Congo, commonly known as Congo Brazzaville, has begun exporting liquefied natural gas for the first time, marking a significant shift from its previous domestic practices where natural gas was either flared or reinjected into oil wells.
FLNG Project Launch: The initial phase of a two-phase floating gas project (FLNG) commenced operations in February 2024. This development represents a strategic effort to monetize the nation's natural gas reserves that were not being utilized effectively.
Natural Gas Reserves and Utilization: Congo Brazzaville possesses about 10 trillion cubic feet (Tcf) of proven natural gas reserves. Historically, much of the gas produced domestically was not consumed; instead, it was either flared, contributing to environmental issues, or reinjected to enhance oil recovery.
Significant Reduction in Gas Flaring: Prior to the initiation of the LNG project, Congo Brazzaville had high rates of gas flaring, burning approximately 64 billion cubic feet (Bcf) of natural gas in 2022, which was significantly more than four times its total natural gas production that year.
Role of Eni and Project Details: The Italian energy company, Eni, is the operator of this landmark project. The Tango FLNG facility, which is the first phase of this project, began exporting LNG by the end of February 2024, with a production capacity of 29 Bcf per year.
Future Expansion: A second, larger FLNG facility is currently under construction and is scheduled to commence operations in 2025. This facility will significantly expand production capacity to approximately 115 Bcf per year and will be located near the Marine XII block, the primary source of the natural gas supply.
A look at Congo Brazzaville's Oil and LNG Production
The Republic of the Congo, commonly known as Congo Brazzaville, stands as a key hydrocarbon producer in sub-Saharan Africa, with most of its production concentrated offshore.
As a notable member of OPEC since June 2018, the country's economy heavily relies on crude oil exports, making it sensitive to global oil price fluctuations.
Oil production dynamics
Congo Brazzaville holds approximately 1.8 billion barrels of proven crude oil reserves, with crude oil constituting the majority of its total liquid fuel output.
The country primarily produces three main crude blends: Djeno, N'Kossa, and Yombo, each with unique characteristics tailored to specific market needs.
Djeno, the predominant blend, is a medium sweet crude, whereas N'Kossa is lighter and sweeter, and Yombo is known for its viscosity, suitable for blending. Historically, Congo Brazzaville’s oil production peaked at 347,000 barrels per day in 2018 due to new offshore developments but is projected to decline due to aging fields and slowed development activities.
Recent developments and future outlook
Significant production boosts in the late 2010s were driven by new offshore fields coming online, including the Moho Bilondo and Nene Marine developments operated by TotalEnergies and Eni, respectively.
Additionally, the Lianzi field, a pioneering cross-border project with Angola operated by Chevron, reflects a collaborative effort in the region.
Natural gas and environmental considerations
Congo Brazzaville's proven natural gas reserves stand at about 10 trillion cubic feet. The country utilizes its gas production primarily for domestic energy needs and employs flaring or re-injection for excess gas.
With strategic investments and regulatory reforms, Congo Brazzaville could revitalize its energy sector and more effectively harness its abundant natural resources for economic development and environmental sustainability. Information by EIA.
Comments