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Global Energy Ventures – Second Brazil Operator Engaged for CNG Optimum

Global Energy Ventures Ltd (ASX: GEV, the Company), the leading developer of global integrated marine compressed natural gas (CNG) projects, is pleased to provide the following update on the Company’s business development activities in Brazil.

Highlights:

  • Request for Information (RFI) for a marine CNG solution requested by the operator of multiple offshore oil and gas projects in Brazil.
  • The operator represents the second global major oil & gas company that GEV has engaged with in Brazil, to evaluate the export and commercialisation of associated gas using CNG Optimum.
  • GEV will leverage engineering from the Commercialisation Plan issued in April 2020, which confirmed there were no technical impediments in the proposed marine CNG solution.
  • Submission of the proposal will be completed in the first quarter of 2021 for consideration by the operator.

Garry Triglavcanin, Executive Director and Chief Development Officer commented: “GEV has been confident for some time that the offshore Brazil is a multi-project region for the Company, and we are pleased to advance the technical and economic review of marine CNG for a second operator to study a gas supply chain utilising CNG Optimum. The opportunity includes multiple gas supply and delivery points, across a range of very substantial gas volumes. GEV expects to deliver a commercially compelling business case to the operator.”

SECOND OPERATOR ENGAGED

The Company is pleased to advise shareholders that it has commenced the preparation of a technical and economic proposal in response to a Request for Information (RFI) from a second operator in the offshore Brazil region. The operator has supplied GEV with a scoping document that outlines the key inputs for the evaluation of multiple marine CNG cases, including gas supply points, export volumes, gas specifications, transportation distances, and delivery locations. The scale of the opportunity is significant, with the requirement for a large fleet of CNG ships, over a period of up to 20 years.

GEV will leverage from the findings of a Commercialisation Plan undertaken earlier this year for a Pre-salt Brazil operator. This work involved extensive in-house and third party engineering to establish the technical viability of continuous gas export utilising a dual STL system, fleet of CNG Optimum ships and dedicated CNG unloading terminal.

GEV will deliver its formal response to the RFI in the first quarter of 2021, providing the operator with sufficient detailed technical and economic information to support their internal analysis and validation process.

CNG OPTIMUM SUPPLY CHAIN FOR ASSOCIATED GAS

GEV’s marine CNG gas transport solution and scope of work is inclusive of a Submerged Turret Loading System (riser connected to FPSO), CNG Optimum Ship Fleet, and CNG Unloading Terminal (to pipeline connected to NGPP) as outlined in Figure 1 below.