As part of efforts to complete a long-delayed project, Eni has announced that it has asked for billions of dollars from banks for the development of the Coral field, in the Area 4 concession off the Mozambican coast.

According to sources, banks are expected to reply within three to four weeks with the terms of loans they are to provide.

This is one of the last steps before Eni can make a final investment decision, which it hoped to announce by the end of this year.

Reserves found in Mozambique's Rovuma basin in the last few years, reached about 85 trillion cubic feet, one of the largest discovery in a decade, big enough to supply Germany, Britain, France and Italy for close to two decades, Upstream news reports.

The gas provides Mozambique with an opportunity to become a middle-income state and also a major global liquefied natural gas exporter.

Talks between Eni and Anadarko, who are operators, have persisted for years as a result of disputes over terms as well as concerns about falling crude oil prices.

Eni has entered into a deal with Samsung Heavy Industries to provide a floating LNG platform to process gas from the field, which is to be sold to BP.

The Italian company has also finalized negotiations to farm-out a multi-billion dollar interest in other fields in Area 4 to ExxonMobil.

Two years ago, Eni sold 20% of its Area 4 licence to CNPC for $4.2 billion but ever since then oil and gas prices have dropped by more than half.

Anita Fatunji