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West Africa LNG (WALNG) Group’s Guinea LNG import project is expected to supply electricity to Guinea-Conakry by Q1 2025. The country’s transitional legislative assembly approved a 2023 agreement between the Guinean government and WALNG to start developing the $3 billion project in May 2024.
The large-scale LNG initiative includes several receiving terminals, high-capacity regasification units, distribution infrastructure, and gas-fired power plants with an estimated total capacity of 1,800 MW. LNG will be imported to Guinea-Conakry, stored in holding tanks and distributed to end users either through pipelines after regasification or via cryogenic trailers throughout the country, including to Conakry, the coastline, and the mining regions of Kamsar and Boké.
Guinea-Conakry’s abundant bauxite resources present a tremendous opportunity for sustainable development and inclusive growth. Cem Hacioglu, CEO of WALNG, told Energy Capital & Power, “Guinea is the only country in the world that does not process its resources and instead ships them as raw materials, which leaves a lot of economic value on the table.” He added, “We formed West Africa LNG Group to specifically address this issue by bringing natural gas to Guinea.”
In 2022, President Mamadou Doumbouya’s transitional government began to enforce a law requiring mining companies operating in the country to build alumina refineries and process part of their production locally. While several projects are anticipated for 2027 or 2028 — such as the UAE-owned Guinea Alumina Corporation’s one million-ton-per-year bauxite refining project — mining companies have pointed out that such processing plants would require significant resources.
“Adding a refinery that runs on coal would create environmental and health issues, so the most readily available and sustainable option is natural gas,” Hacioglu said.
Another factor that has greatly expedited the project is the explosion at Conakry’s primary oil terminal in the Kaloum district in December 2023, which caused fuel shortages and frequent power outages. In response, Guinea-Conakry has explored temporary solutions, including deploying a 250 MW thermal power vessel and enhancing energy collaboration with Senegal. However, Guinea-Conakry needs a long-term solution. Hacioglu noted, “We are in discussions with the government to provide electricity to Conakry Kaloum.” With government approval, WALNG is set to begin construction on various components of the Guinea LNG project, aiming to provide at least partial electricity from natural gas by the end of Q1 2025.
Beyond the bauxite industry, WALNG is actively engaging with various mining companies to address their energy needs.
“Gold producers, being heavy energy consumers, are keen on reducing their carbon footprint, lowering costs, and securing a reliable fuel source for their power needs,” he noted.
Additionally, WALNG is negotiating to provide natural gas for the port and mining operations at global group WCS and Rio Tinto’s Simandou iron ore project. A strategy to deploy between 30 MW to 50 MW power generation units across multiple locations is underway, with support from an LNG floating storage unit hub in Freetown, Sierra Leone.
Although the project’s supplier is yet to be determined, the first gas production from Kosmos Energy and BP’s Grande Tortue Ahmeyim project, expected in 2024, could potentially serve as a future supply source for the Guinea LNG project and may also inspire similar initiatives in the region. The MSGBC Oil, Gas & Power 2024 will showcase the latest energy projects in West Africa and bring together local and international stakeholders in the sector. Taking place in Dakar from December 3-4, the event will feature a dedicated session on natural gas, where Hacioglu will be a speaker.
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