TotalEnergies and Oman National Oil Unveil Details of Marsa LNG Project

By Editor


TotalEnergies and Oman National Oil Company have disclosed additional details regarding the Marsa LNG project.

TotalEnergies did not reveal financial details of the project.

The news announcement follows TotalEnergies’ earlier signing of a Sale and Purchase Agreement (SPA) with Oman LNG, securing a deal to off-take 0.8 million metric tons per annum (Mtpa) of liquefied natural gas (LNG) over a decade, starting from 2025.

TotalEnergies, holding a 49 percent stake, and OQ Alternative Energy, with a majority share of 51 percent, have formally acknowledged their collaborative efforts to develop a diversified portfolio generating up to 800 megawatts (MW) of power. This 300 MWp solar project is slated to supply renewable energy to the Marsa LNG facility.

The joint venture called Marsa Liquefied Natural Gas – between TotalEnergies (80 percent) and OQ (20 percent) — will spearhead the integrated Marsa LNG project, marking a significant milestone in sustainable energy production.

The project’s upstream gas production will draw upon 150 million cubic feet per day (Mcf/d) of natural gas, sourced from Marsa’s 33.19 percent interest in the Mabrouk North-East field on onshore Block 10. Production from Block 10 commenced in January 2023, reaching its plateau in April 2024. The Final Investment Decision (FID) empowers Marsa LNG to extend its tenure in Block 10 until 2050, ensuring a stable supply chain for LNG production.

Downstream activities will encompass the construction of a 1 million metric ton per year (Mt/y) LNG liquefaction plant at the port of Sohar. The facility is anticipated to commence LNG production by the first quarter of 2028, primarily catering to the burgeoning marine fuel market in the Gulf. Any surplus LNG will be procured by TotalEnergies (80 percent) and OQ (20 percent).

In a concerted effort to mitigate carbon emissions, a dedicated 300 MWp photovoltaic (PV) solar plant will be erected to fulfill the energy requirements of the LNG plant, facilitating a substantial reduction in greenhouse gas emissions. The Marsa LNG plant will operate exclusively on electricity, powered by solar energy, establishing it as one of the most environmentally sustainable LNG facilities globally, with a greenhouse gas intensity below 3 kg CO2e/boe, compared to the industry average of around 35 kg CO2e/boe.

The Engineering, Procurement, and Construction (EPC) contracts have been awarded to Technip Energies for the LNG plant and to CB&I for the construction of a 165,000 cubic meter LNG storage tank, underscoring the project’s commitment to engineering excellence and safety standards.

The Marsa LNG initiative is poised to create long-term employment opportunities and foster socio-economic development in the city of Sohar and its environs.

Moreover, the Marsa LNG project aspires to emerge as the Middle East’s premier LNG bunkering hub, offering a cleaner alternative to conventional marine fuels. LNG boasts a myriad of environmental benefits, including a reduction in greenhouse gas emissions by up to 23 percent, nitrogen oxide emissions by up to 85 percent, sulfur emissions by 99 percent, and fine particle emissions by 99 percent.

During a visit to Muscat on April 21, Patrick Pouyanne, Chairman and CEO of TotalEnergies, alongside Sultan Haitham bin Tariq Al Said and Salim bin Nasser Al Aufi, Minister of Energy & Minerals, reaffirmed the partnership between TotalEnergies and the Sultanate of Oman. News Desk

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