(Business in Cameroon) - GNL Golar and its partners Perenco and the National Hydrocarbons corporation SNH announce that in 2022, they will increase floating LNG plant Hilli Episeyo’s yearly production capacity from 1.2 million to 1.4 million tons on the Sanaga Sud block, upstream Kribi.  

 “We are pleased to announce increased capacity utilization of our FLNG Hilli, unlocking the embedded value to our shareholders by utilizing more of Hilli’s 2.4 million tonnes of liquefaction capacity. The innovative tolling fee arrangement delivers on our announced strategy to increase our upstream LNG and gas exposure. Today’s announcement is further testimony to Hilli’s strong track record of 100 percent commercial uptime since delivery in 2018 and will benefit all stakeholders involved in the project, as well as bringing us closer to our target to reach full capacity utilization of Hilli,” said Karl Fredrik Staubo, CEO of GNL Golar.

According to the agreement binding the parties, Perenco and SNH have the option to increase the production capacity by an additional 200,000 tons yearly from January 2023 to 2026, which marks the end of the current contract. Should the parties decide to go this route, they will confirm it in Q3-2022.

Perenco and SNH intend to assess the potential of two to three additional gas wells and start drilling them this year in a bid to modernize the upstream installations in 2022 in preparation for the production increase envisaged for 2023.  

Olivier de Souza