Daewoo E&C expands LNG presence in Nigeria, Mozambique

LNG Train 7’s field site on Bonny Island in Rivers State, Nigeria, where Daewoo Engineering & Construction is developing energy infrastructure / Courtesy of Daewoo E&C

Major construction firm Daewoo Engineering & Construction is expanding its liquefied natural gas (LNG) infrastructure footprint across Africa.

The company is currently building the LNG Train 7 (T7) project in Nigeria and Trains 1 and 2 for LNG Area 1 in Mozambique. According to the company, both projects reflect its extensive project portfolio across the continent, which is rich in LNG reserves.

Through the Nigerian T7 project, Daewoo E&C has cemented its status as an engineering, procurement and construction (EPC) prime contractor for LNG liquefaction plant construction — a qualification the company says had never previously been achieved by a Korean firm due to the dominance of a handful of global EPC players.

Daewoo’s growing presence in Africa is rooted in decades of experience on the continent. In Nigeria, Africa’s largest LNG producer, the company previously completed LNG liquefaction Trains 1, 2, 3, 5 and 6, demonstrating its capabilities and earning market trust. It also carried out EPC work for central gas processing facility projects, including CAFC in Algeria and Gbaran Infill in Nigeria.

For the Nigerian T7 project, Daewoo formed a joint venture with global EPC firms Saipem and Chiyoda, leading the consortium as prime contractor.

The company has also expanded into Mozambique, where one of Africa’s largest gas reserve development projects is underway. Daewoo believes the LNG Area 1 project could open doors to future opportunities in Tanzania, Oman and the United States.

To date, the company has secured 11 overseas LNG liquefaction plant projects in countries including Nigeria, Algeria, Papua New Guinea, Indonesia and Russia. Domestically, it has completed 25 LNG storage tanks, showcasing engineering capabilities across the entire LNG value chain — from gas treatment and liquefaction plants to storage tanks and regasification facilities.

“We boast an unmatched status as Korea’s only company delivering total solutions across the LNG lifecycle,” a company official said, adding that the firm aims to secure more projects worldwide.

LNG liquefaction plants are part of the midstream sector, which generates the highest added value and requires advanced technology. Midstream typically accounts for up to 45 percent of an LNG project’s total cost.