The Ministry of Mines
and Hydrocarbons (MMH) of Equatorial Guinea, in collaboration with the Atlantic
Methanol Production Company (AMPCO), awarded American company Nexant the
feasibility study for the construction of a new formaldehyde production plant in
Punta Europa.
The project is part of
the Year of Investment and was previously agreed during a meeting last January
between H.E. President Teodoro Obiang Nguema Mbasogo, H.E. Gabriel Mbaga Obiang
Lima, Minister of Mines and Hydrocarbons, Marathon Oil Chairman, President and
CEO Lee Tillman and Executive Vice President Mitch Little.
Formaldehyde
is a key component in the manufacturing of plastics, clothing, paper, and is
widely used in industries derived from wood. The construction of such a
facility in Equatorial Guinea would open doors for the establishment and growth
of such related industries in the country. The feasibility study for the
project is expected to be ready by mid-June 2020, and is part of the ongoing
Year of Investment 2020.
“We are on
track to deliver several projects under the Year of Investment 2020 following
the award of the feasibility study for a 5,000 bpd modular refinery to VFuels
last month, and the award of the feasibility study for the
methanol-to-derivates plant this week,” declared H.E. Gabriel Mbaga Obiang
Lima. “These are two landmark projects of the Year of Investment that will
boost the local transformation of domestic oil and natural gas and create
substantial jobs for the country,” he added.
The Year of
Investment 2020 projects aim at attracting investments across Equatorial
Guinea’s midstream and downstream industries and promote infrastructure that
adds value to the hydrocarbons industry of the country through job creation. In
light of the ongoing economic crisis in the region, the Year of Investment has
also become a way for Equatorial Guinea to ensure a quick and sustainable
recovery of its economy by promoting investments in key infrastructure projects
that can create local value and generate revenue for the country. Key projects
being promoted under the Year of Investment notably include a modular refinery
for domestic supply, an additional modular refinery which could be destined for
exports, storage tanks for refined products, methanol derivatives
manufacturing, an industrial mining area with a gold refinery, and a urea plant
project.