Eq. Guinea, Taleveras to build Africa’s largest oil storage hub

Eq. Guinea, Taleveras to build Africa’s largest oil storage hub

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President Teodoro Obiang Nguema Mbasogo:is now working to serve as a pillar of stability and security in its region
President Teodoro Obiang Nguema Mbasogo:is now working to serve as a pillar of stability and security in its region

Equatorial Guinea has signed an agreement with Nigerian energy firm, Taleveras Group, to build an oil storage hub in the West African country.
‘The Bioko Island facility will have a total capacity of 1.34 million tonnes of storage for crude oil and products such as gasoline, naphtha, jet fuel and fuel oil. It will be the largest crude and products storage facility in Africa,’ said Taleveras in a statement.
The terminal will be built at Punta Europa, which is located on Bioko Island, and will be able to service the key oil supply and demand centres throughout the region.
Equatorial Guinea, the only Spanish-speaking country in Africa, and one of the smallest nations on the continent, is situated at the hub of the dynamic offshore West Africa Petroleum Province and is now established as a significant petroleum-producing nation. Vigorous exploration during the 1990’s combined with rapid field development has resulted in daily production rising from less than 5,000 barrels per day (bpd) in 1992 to a 2012 average that exceeded 410,000 bpd, which includes the country’s significant natural gas production.
In the late-1990s, American companies helped discover the country’s oil and natural gas resources, which only within the last five years began contributing to the global energy supply. Exciting new developments have included the Triton Energy’s Ceiba field which was discovered in October 1999, and thanks to a remarkably speedy and technically excellent development plan, was producing first oil in November 2000. Ceiba defined a new petroleum system in Equatorial Guinea’s Rio Muni Basin and further exploration success has been made with the discovery of the Okume Complex of fields, which commenced production in 2008.equatorial guinea
More recently, in July 2009 the ministry of mines, industry and energy announced approval of the Aseng Plan of Development in Block I. Formerly known as Benita, Aseng was originally discovered in 2007 as a gas-condensate field. Subsequently, two appraisal wells were drilled in the structure, with the first identifying the oil resources and the second determining downdip reservoir limits. Initial development of the field includes five subsea wells flowing to a floating production, storage, and offloading vessel (FPSO) where the production stream will be separated.
Equatorial Guinea’s traditional producing area offshore Bioko island continues to expand with increased production at ExxonMobil’s Zafiro field and Marathon’s Alba field. Production from the Alba gas condensate field is now feeding a $400 million methanol plant on Bioko island, a $1.4 billion LNG plant and has removed the need for major gas-flaring.
Fields developed in the period 1996 – 2011 are the 1.1 billion barrel ExxonMobil operated Zafiro Field, offshore Bioko Island which came onstream in 1996, the Amerada operated Ceiba Field, which defined a new petroleum system in Equatorial Guinea’s Rio Muni Basin, discovered in 1999 and brought onstream in November 2000, the Amerada Operated Okume Complex, also in the Rio Muni Basin, which commenced production in 2006 and the Noble operated Aseng Field, located in the Equatorial Guinea part of the Douala Basin, offshore Bioko Island, discovered in 2007 and which produced first oil on November 6, 2011.
During the early 2000’s the Marathon operated Alba Field underwent a significant expansion programme and now produces in excess of 800 mmcf gas per day, which feeds the Atlantic Methanol Producing Company (AMPCO) Methanol Plant and the Equatorial Guinea Liquified Natural Gas (EGLNG) Plant. The construction of the Methanol and LNG Plant eliminated gas flaring from the field.
The ministry of mines, industry and energy has already commenced work on an Integrated Gas Gathering Project to capture stranded gas in Equatorial Guinea and the surrounding region including the possibility of constructing a 2nd LNG train and a petrochemicals plant on Bioko Island and the construction of a 20,000 bpd refinery at Mbini on the mainland coast. Other future projects include the construction of a petrochemical plant on Bioko Island utilising methanol from the AMPCO plant and the construction of a crude oil and products storage terminal on Bioko Island.
Petroleum production now dominates the Equatorial Guinea economy with oil revenues accounting for over 70 percent of the national income and the petroleum sector is the driving force behind the ongoing growth in Equatorial Guinea’s GDP and the country’s rapid development. The country is now working to serve as a pillar of stability and security in its region of West Central Africa. It hosted the 2011 Summit of the African Union.
Taleveras Petroleum logo_510x350Taleveras is a growing trading firm with more than $2 billion in credit lines. It offers a wide range of integrated and strategic solutions in fields such as energy, power, construction, and logistics on a global scale. It said it obtained the rights in December through an open negotiation process which involved several companies, without naming them.
Global trading houses are vying for access to Africa’s booming gasoline and diesel markets where demand is expected to grow by nearly 60 percent by 2025, according to African energy consultancy CITAC.
Storage hubs near big markets can help trading firms boost profits by allowing them to quickly exploit arbitrage opportunities resulting from changes in supply and demand. Switzerland’s Gunvor signed a similar deal with Gabon in 2013 to create a joint trading company to sell oil products along the western coast of Africa.

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