SET Notification

The Signing of Project Finance for Mozambique Area 1 Project

20 July 2020

 PTTEP 13061/00-4446/2020                                                                                        
Investor Relations
Tel. +66(0) 2537 4868, +66(0) 2537 5843
20 July 2020
The Stock Exchange of Thailand
93 Ratchadapisek Road, Din Daeng
Bangkok 10400
Dear Sir,
Subject: The Signing of Project Finance for Mozambique Area 1 Project
PTTEP Mozambique Area 1 Limited, a wholly owned subsidiary of PTT Exploration and Production Public Company Limited (PTTEP), with 8.5 percent of participating interest in Mozambique Area 1 Project and its partners would like to announce that the project has signed senior debt financing agreements, in the amount of US$14.9 billion, to advance the first two-train LNG development,  after the final investment decision was taken in June 2019.
The Mozambique Area 1 Project will be the first onshore LNG facility in Mozambique, initially consisting of two LNG trains with total nameplate capacity of 13.1 million tons per annum (MTPA) which produces from the Golfinho-Atum fields located within Offshore Area 1 in the Republic of Mozambique. The project has successfully secured the long-term LNG sales of 11.1 MTPA with key LNG buyers in both Asia and Europe, representing more than 80% of the plant’s capacity. The cost for the total project, which includes both onshore and offshore components, is approximately US$20 billion.  Project costs will be majority funded by a combination of equity and the senior debt facilities as mentioned above.
The signing of the project financing has demonstrated the project's capability to access the global funding sources, with support from export credit agencies, a multilateral development institution and commercial banks.
Please be informed accordingly.
Sincerely yours,
Phongsthorn Thavisin
Phongsthorn Thavisin
President and Chief Executive Officer