Error 401 authenticating with Project Online and CSOM

I get error 401 (or 403) when trying to connect to Project Online with CSOM in a console app. (This is not on-premise. It is Microsoft Project Online 2013.) Here is the code.

ProjectContext projContext = new ProjectContext(pwaPath);
projContext.Credentials = new NetworkCredential("myUserID", "mypwd", "xxx.onmicrosoft.com");
projContext.ExecutingWebRequest += new EventHandler<WebRequestEventArgs>(projContext_ExecutingWebRequest);
projContext.Load(projContext.Projects);
projContext.ExecuteQuery();
// Error 401 Unauthorized

static void projContext_ExecutingWebRequest(object sender, WebRequestEventArgs e)
{
    e.WebRequestExecutor.WebRequest.Headers.Add("X-FORMS_BASED_AUTH_ACCEPTED", "f");
}

And another try, without ExecutingWebRequest:

ProjectContext projContext = new ProjectContext(pwaPath);
projContext.Credentials = new NetworkCredential("myUserID", "mypwd", "xxx.onmicrosoft.com");
projContext.Load(projContext.Projects);
projContext.ExecuteQuery();
// Error 403 Forbidden

Q1: Are there any problems with the code?

Q2: Is there a setting in Project Online that I'm missing?

ScoutwestInc