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BP's GTA LNG Project Operates Smoothly Despite Gas Leak

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BP plc (BP - Free Report) , the UK-based energy major, has confirmed that gas production at its Greater Tortue Ahmeyim (“GTA”) Phase 1 liquefied natural gas (LNG) project off the coasts of Mauritania and Senegal is proceeding as usual following a gas leak at the site. The leak, which was reported on Feb. 19 at the A02 well (located 120 kilometers offshore), was swiftly addressed with intervention measures coordinated by BP and local authorities.

Mauritania’s Ministry of Energy and Petroleum stated that BP promptly notified the relevant authorities and proposed several technical solutions to contain the leak. Reinforced technical teams were mobilized, and specialized equipment was flown in aboard an Antonov cargo plane that arrived in Nouakchott on Feb. 26. After assembling and installing the necessary intervention tools at the port of Nouakchott, a specialized vessel transported the equipment and personnel to the GTA field to carry out repairs.

Surveillance efforts have been ongoing, with national naval forces maintaining a continuous presence in the area. On March 6, Mauritanian and Senegalese technicians, along with BP representatives, conducted a joint helicopter inspection, confirming no visible gas residues on the sea’s surface. The site is being monitored with satellite and drone observations, and a remotely operated underwater vehicle.

Despite the incident, gas production at the GTA field remains uninterrupted. The project, which achieved its first LNG output just nine days before the leak, continues to operate normally. The floating LNG vessel Gimi, operated by Golar LNG, had received its first feed gas from the FPSO GTA less than a month before the leak occurred.

BP leads the GTA project with a 56% stake, while Kosmos Energy holds 27%, Petrosen 10% and Societe Mauritanienne Des Hydrocarbures 7%. The GTA development is one of BP’s largest and most technically complex gas projects in Africa.

BP remains active in hydrocarbon exploration worldwide. In addition to the GTA project, the company has recently completed drilling at the El Fayoum-5 gas discovery in Egypt’s North Alexandria offshore concession, marking the conclusion of its four-slot drilling campaign in the West Nile Delta.

While the gas leak at GTA raised concerns, the swift containment measures and ongoing surveillance efforts have ensured that the project continues without significant disruptions. Mauritania and Senegal, in coordination with BP, remain committed to overseeing the development safely and efficiently.

BP’s Zacks Rank & Key Picks

BP currently carries a Zack Rank #3 (Hold).

Investors interested in the energy sector may look at some better-ranked stocks like Archrock Inc. (AROC - Free Report) , NextDecade Corporation (NEXT - Free Report) and EOG Resources, Inc. (EOG - Free Report) . While Archrock presently sports a Zacks Rank #1 (Strong Buy), NextDecade and EOG Resources carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.

Archrock is an energy infrastructure company based in the United States, with a focus on midstream natural gas compression. It provides natural gas contract compression services and generates stable fee-based revenues.

NextDecade is an emerging player in the LNG space with its Rio Grande LNG project in Texas. As demand for LNG continues to grow, the company’s strategic investments in infrastructure and its planned liquefaction capacity provide strong upside potential. With the global LNG market expanding, NEXT is well-positioned to tap into the increasing export demand from the United States.

EOG Resources is an oil and gas exploration and production company with an attractive growth profile, upper-quartile returns and a disciplined management team. With highly productive acreages in premier oil shale plays like the Permian and Eagle Ford, the company has numerous untapped high-quality drilling sites. Additionally, EOG maintains a strong balance sheet and continues to reward shareholders with regular and special dividends. 

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