LNG

TotalEnergies CEO, Mozambique President Confirm Mozambique LNG Restart

Suspended by force majeure since the spring of 2021, work on the Mozambique LNG project has restarted with over 4,000 workers now engaged onshore and offshore to meet a 2029 deadline for first LNG.

Mozambique LNG
A tank farm takes shape at Total's Mozambique LNG construction site.
Source: TotalEnergies.

TotalEnergies’ CEO and Chairman Patrick Pouyanné together with Mozambique President Daniel Chapo have announced the resumption of work at the Mozambique LNG plant onshore along with development of the deepwater offshore Golfinho and Atum natural gas fields in the Rovuma Basin Area 1.

The restart follows TotalEnergies’ decision in November to lift the force majeure declared in 2021 and restart the project which aims to drop first LNG in 2029. Mozambique LNG is already 40% complete with nearly all engineering and procurement of main equipment completed during the force majeure shutdown, according to a TotalEnergies press release.

At the 29 January relaunch ceremony in Afungi, Mozambique’s government reiterated its commitment to security guarantees necessitated by the shutdown that followed militant attacks near the construction site. Those guarantees include continued cooperation with Rwandan military.

Location of Mozambique LNG and Area 1 in the Rovuma Basin.
Location of Mozambique LNG and Area 1 in the Rovuma Basin.
Source: TotalEnergies.

A Boon to Local Employment
With construction restarting, more than 4,000 workers have been mobilized of which over 3,000 are Mozambican nationals. Local hiring is to increase to 7,000 over the construction period while Mozambican companies also share more than $4 billion in contracts.

In addition, Mozambique LNG has launched a large-scale socioeconomic development program to support local communities in Cabo Delgado province, TotalEnergies said in its news release.

“The full restart of project activities marks a major milestone for Mozambique LNG and the country. I want to thank President Chapo and all Mozambican authorities for their commitment to the project,” Pouyanné said during the ceremony. “This landmark project will position Mozambique as a major LNG exporter. With its strong local content, it will also bring lasting economic benefits to Mozambican people.”

President Chapo noted, “The resumption of the project represents a significant milestone for the national economy and reaffirms the confidence of international partners in Mozambique’s energy, institutional and human potential.

At the same time, it consolidates Mozambique’s positioning as a regional energy hub and reaffirms the country as a credible and relevant actor in the global liquefied natural gas market, strengthening its geostrategic position and its role in global energy security.”

Partners in the Mozambique LNG joint venture include TotalEnergies EP Mozambique Area 1 (26.5%, operator), Mitsui E&P Mozambique Area 1 (20%), ENH Rovuma Área Um (15%), ONGC Videsh Rovuma (10%), Beas Rovuma Energy Mozambique (10%), BPRL Ventures Mozambique (10%), and PTTEP Mozambique Area 1 (8.5%).