Italian energy giant Eni has refuted the Belgian contractor Exmar’s claims over its entitlement to bonus payment for the performance of Tango floating liquefied natural gas (FLNG) unit, deployed at Eni’s Marine XII offshore block in Congo.
On February 5, Exmar issued a statement regarding the performance of Tango FLNG unit, which the company sold to Eni in 2020, saying it ‘exceeded the guaranteed’ production levels, therefore making Exmar eligible to a bonus, which could go up to $44 million.
However, Eni has issued a response, disagreeing with the claims made by Exmar.
“With reference to the Congo FLNG project and to Exmar's press release dated February 5, 2025, Eni does not agree with Exmar’s statement regarding its alleged accrued entitlement to a positive price adjustment under the relevant contract, as the conditions for such adjustment are yet to be assessed pursuant to such contract,” Eni’s spokesperson said.
Exmar claims the Tango FLNG unit exceeded the guaranteed production levels, with an adjusted annual equivalent production in excess of 0.6 million ton per annum, based on the monitoring of the liquefaction of natural gas onboard the Tango FLNG.
Offshore Engineer has reached out to Exmar for additional comment on Eni’s statement, and the article will be updated with the response if we receive it.
Eni started the introduction of gas into the Tango FLNG unit moored in Congolese waters in late 2023.
The unit has a liquefaction capacity of about 1 billion cubic meters per year (BCMA) and is moored alongside the Excalibur Floating Storage Unit (FSU) via ‘split mooring’ confirugration.
A second FLNG facility with a capacity of about 3.5 BCMA is currently under construction and is expected to start production in 2025.