London — BP's own gas marketing arm has agreed to buy all the LNG to be produced at its planned Greater Tortue Ahmeyim LNG project offshore Mauritania and Senegal, it said Wednesday.
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BP Gas Marketing has agreed to take 2.45 million mt/year from Phase 1 of the Greater Tortue Ahmeyim project for an initial term of up to 20 years and will be the sole offtaker for LNG from the first phase.
The sales and purchase agreement followed a competitive process involving all partners in the project, BP said.
Greater Tortue Ahmeyim is designed in its first phase to produce 2.5 million mt/year of LNG before expanding to 10 million mt/year in later phases.
It is based on an estimated 15 Tcf of offshore gas and is expected to produce its first gas in 2022.
"The SPA is another positive step forward for the Greater Tortue Ahmeyim project," BP's regional president for Mauritania and Senegal, Norman Christie, said in a statement.
BP and its partners took the final investment decision for the Greater Tortue Ahmeyim project in late December 2018.
There is also scope for more developments offshore Mauritania and Senegal following a recent three-well drilling campaign that identified high-quality gas reservoirs of a "world-class scale," BP said late last year.
BP CEO Bernard Looney said last year there was potentially some 50-100 Tcf (1.4-2.8 Tcm) of gas in place across the region.