Golar LNG and Schlumberger are shutting down upstream joint venture OneLNG following Schlumberger’s decision to withdraw from the Fortuna development project, offshore west Africa.
According to Golar LNG, it has not been posiible to finalise an attractive debt financing package despite an agreed development plan and extensive efforts over the last twelve months by OneLNG and Ophir management, which has resulted in a decision from Schlumberger to end their participation in the project.
Efforts to find the optimum capital structure that maximizes value for all Fortuna project stakeholders, including the government of Equatorial Guinea, still continue.
Golar LNG and Schlumberger formed the OneLNG joint venture in 2016 to jointly market their services to owners of gas reserves, investors and governments. The two parties were confident that OneLNG would conclude five projects within five years.
The Fortuna development would be west Africa’s first deepwater LNG project and includes a floating terminal that liquefies gas offshore.
Ophir Energy, the company heading the Fortuna development, said it and Golar LNG were both actively engaged in negotiations on financing the project and it was close to finding a new partner to replace Schlumberger.