Eni's activities contribute to ensuring that energy is supplied to Italy and Europe through a consolidated global portfolio that leverages new discoveries, particularly of natural gas, on a system of alliances with producing countries and agreements and collaborations with international partners.
In order to respond to the current energy crisis brought about by the global situation, Eni is implementing a plan to increase gas supplies from other countries, mainly from its own production. Gas is at the heart of this strategy, as it's the most reliable source to support the energy transition.
The main production countries we are working with to expand our gas portfolio are Algeria,Angola, Cyprus, the Republic of the Congo, Egypt, Indonesia, Libya, Mozambique, Nigeria and Qatar. Supplies from Algeria, in particular, will double from around 9 billion cubic metres per year to around 18 billion cubic metres per year by 2024. LNG volumes will expand, with Snam's two new terminals expected to be operational by 2023, and fed by increasing quantities from Egypt, Qatar, the Republic of the Congo, Nigeria and Angola.
Initiatives to diversify the supply of natural gas
Industrial operations and agreements with producing countries which we are expanding our global portfolio with.
Algeria is a key country for gas importation. Our exploration and production activities are concentrated in the Bir Rebaa desert in the central eastern part of the country. More specifically, we are focussing on reviving activities in the Berkine basin region, including through the creation of an oil and gas development hub. We are particularly focusing on relaunching activities in the Berkine basin region through the creation of a gas and oil development hub. In October 2022, through a fast-track development, we set up 2 gas fields under the new Berkine South contract, gas from which will be added to those in the Berkine North contract. On 7 September 2022, we acquired BP's operations there, where we will operate two new major associated gas and liquid fields, In Amenas and In Salah. In July 2022, Eni and Sonatrach announced a further discovery in the Sif Fatima II concession, located in the Berkine North basin, and in the same month we signed a new PSC for blocks 404 and 208 in Algeria with Sonatrach, Oxy and TotalEnergies.
In July 2027, we completed negotiations to launch the New Gas Consortium, the first non-associated gas project in the country, reaching the Final Investment Decision for the development of the Quiluma and Maboqueiro fields. The project, which is shared with other partners, comprises two offshore platforms, an onshore gas processing plant and a connection to the Angola LNG plant near Soyo, with an aim of marketing condensates and gas via LNG cargoes. Operations will begin in 2022 and the launch is planned for 2026, with an expected production of around 4 billion cubic metres per year. The liquefaction plant has a capacity to process about 10 billion cubic metres/year of feed gas and liquefy 5.2 million tonnes/year of LNG. It is operated by the Angola LNG (ALNG) consortium, in which Eni has a 13.6% share. The New Gas Consortium will proceed along with other projects by Azule Energy, the new 50/50 independent joint venture with BP formed in August 2022, in which Eni and BP's Angolan exploration and production, LNG and solar businesses will be grouped. With an equivalent of 2 billion barrels of net resources, Azule will reach approximately 250,000 barrels of oil equivalent per day (boe per day) of equity oil and gas production in the next five years. In exploration and production, the company also holds stakes in 16 licences (including 6 exploration blocks) and in the Angola LNG joint venture.
In August 2022, we announced a major natural gas discovery off Cyprus identified by the Cronos-1 exploration well, at a water depth of 2,287 metres. Preliminary estimates indicate approximately 2.5 TCF (trillion cubic feet) of gas in place, with significant additional potential that will be investigated by drilling an additional exploration well. Block 6 where the well is located is operated by Eni Cyprus with a 50% share, while TotalEnergies is a partner with the remaining 50%. In addition to creating the conditions to bring additional potential gas volumes to development in the region, this new discovery is particularly significant because it follows the one in February 2018 obtained from the Calypso 1 well, which is also located in Block 6; in fact, the two consecutive exploration successes confirm the extension of Zohr's exploration theme into the exclusive economic waters of Cyprus.
Egypt is a country with a long history of activity by Eni, with which we share the vision of becoming a regional gas hub. This is a goal that the country intends to achieve by leveraging existing LNG plants such as the one in Damietta, half of which is operated by Eni, as well as Zohr, the giant gas field discovered by Eni in 2015. The company currently produces around 60% of the gas for the domestic market for electricity generation. The topic of natural gas production and LNG exports was the focal point of important meetings between Eni's CEO Claudio Descalzi and the President of the Arab Republic of Egypt, Abdel Fattah al-Sisi, in March and August 2022.
In Indonesia, we have stakes in 12 production sharing contracts (PSCs), in 9 of which we are responsible for deep water operations with active exploration and development programmes. In terms of natural gas and LNG, we have 2 offshore projects ongoing in East Kalimantan, in Jangkrik and Merakes, which were in production by 2017 and 2021 respectively, with a very fast time to market thanks to the synergies achieved between the two plants. Both are connected to the onshore Bontang LNG liquefaction terminal, one of the most reliable in the world, which supplies liquefied natural gas to both domestic and export markets. A cargo of carbon neutral-certified LNG as per the internationally recognised PAS2060 standard departed from Bontang for Taiwan in 2021, with gas from Eni's Jangkrik field. GHG emissions associated with the entire cargo value chain, including gas production, transmission, liquefaction, transport, regasification, distribution and end-use, were offset by emission credits from forest conservation projects. Alongside production activities, in Indonesia we continue to pursue exploration in both key and frontier offshore areas.
Libya is one of the countries where Eni has been historically active. As far as natural gas is concerned, we work in exploration and production and LNG, distributed both offshore facing Tripoli and in the desert. Libyan gas reaches Italy from the Wafa and Bahr Essalam fields via the Green Stream pipeline, with a capacity of around 8 billion cubic metres per year; there is a 520-kilometre line connecting the Mellitah processing plant on the Libyan coast with Gela in Sicily. In a meeting in August 2022 between Eni’s CEO Claudio Descalzi and the President of Libya's National Oil Corporation (NOC), Farhat Omar Bengdara, Eni expressed its willingness to launch a new phase of investments to increase gas production in the country, leveraging the significant exploration potential and existing facilities that guarantee access to the domestic and European export markets. Eni's CEO welcomed the NOC’s plan to increase the country's daily production to 2 million barrels of oil per day and confirmed Eni's support in achieving this goal.
In November 2022 the first LNG cargo left Coral Sul, the large floating liquefied natural gas (FLNG) plant connected to the Coral field off the coast of Mozambique. The project is known as Coral South. In June 2022, we started to use hydrocarbons in the plants. Coral Sul FLNG has a capacity of some 3.4 million tonnes per year of liquefied gas and will produce LNG from the 450 billion cubic metres of gas from the Coral field, allowing Mozambique to join forces with the LNG producing countries. Together with Mamba and Agulha, Coral is part of a supergiant complex of fields discovered by Eni between 2011 and 2014 in the offshore Rovuma basin, with total resources estimated at 2.4 trillion cubic metres of gas in place.
In Nigeria we carry out both onshore and offshore exploration and production. In recent years, we have signed long-term agreements to increase the supply of liquefied natural gas. We hold a 10.4% stake in Nigeria LNG Ltd, which operates the Bonny natural gas liquefaction plant in the eastern Niger Delta, with a production capacity of 22 million tonnes per annum (MTPA) of liquefied gas, corresponding to around 35 billion cubic metres per year of feed gas. We ensure gas supplies for the plant and sell LNG production to the US, Asian and European markets. The plant is currently undergoing an expansion and we expect it to be operational in 2024, bringing the annual production capacity to over 30 MTPA. With this expansion, Bonny will become one of the world's major LNG hubs and will enable us to further develop the country's abundant associated gas resources.
In June 2022, we were chosen by QatarEnergy as a new global partner for the expansion of North Field East (NFE) in Qatar; the world's largest LNG project, including 4 mega LNG trains with a combined liquefaction capacity of 32 million tonnes/year (MTPA). The NFE project will increase Qatar's LNG export capacity from the current 77 MTPA to 110 MTPA. With an investment of $28.75 billion, NFE is expected to become operational by the end of 2025 and will deploy state-of-the-art technologies and processes, including CO2 capture and storage, to minimize its overall carbon footprint. The agreement to set up the Joint Venture between the two companies was signed by the Minister of State for Energy Affairs, President and CEO of QatarEnergy, Saad Sherida Al-Kaabi, and Eni’s CEO, Claudio Descalzi. QatarEnergy will hold a 75% share and Eni the remaining 25%. The JV will in turn hold 12.5% of the entire NFE project.
Progress continues in the exploitation and sale of gas resources in the country, which was confirmed during a meeting held in October 2022 between Eni’s CEO Claudio Descalzi and the President of the Republic of the Congo, Denis Sassou Nguesso. The agreement will provide for the use of floating LNG plants, thus ensuring an increase in gas exports by winter 2023-2024. To this end, in August 2022 we acquired Export LNG Ltd, which owns Tango FLNG, the floating liquefaction plant on which we will base our natural gas development activities in the Marine XII block, where we have 65% of operations and where our Nené Marine project is based. The acquisition was preceded by a letter of intent signed with the country in April 2022, with the aim of strengthening joint operations in hydrocarbon exploration and development to increase gas export flows to Europe. Above all, the agreement provides for the development of an LNG project with a full-scale capacity of more than 4.5 billion cubic metres per year, with delivery expected for 2023.
Natural gas is a key element of our GHG emissions reduction strategy as it is the fossil fuel with the smallest carbon footprint, so it will be increasingly prevalent in our production mix, accounting for 60% of our hydrocarbon production by 2030. In order to meet this objective, we are continuing to invest in geophysical exploration technologies, such as seismic imaging, supported by our HPC5 supercomputer, in order to identify new resources.
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