Full restart for LNG project

TotalEnergies commits to total restart

MOZAMBIQUE: Following a decision to lift the Force Majeure instituted in 2021 and resume project activities last year, TotalEnergies yesterday announced a commitment to a full restart of the Mozambique LNG project activities.

Patrick Pouyanné, Chairman and CEO of TotalEnergies, met with Daniel Chapo, President of the Republic of Mozambique, where the government confirmed its commitment to work together with Mozambique LNG to support the restart of project activities and address the consequences of the Force Majeure period.

In particular, the government confirmed all measures taken to address the security and the continued cooperation with Rwanda.

Construction activities have now restarted both offshore and onshore at Afungi site, with over 4,000 workers currently mobilised of which over 3,000 are Mozambican nationals. The first LNG is now expected in 2029 as the project progress is currently at 40%. The bulk of all the engineering and procurement for equipment was completed during the shut down period.

According to a statement from TotalEnergies, the project will provide up to 7,000 direct jobs for Mozambicans during construction, and contracts awarded to Mozambican compagnies are expected to amount to more than USD 4 billion.

In addition, Mozambique LNG has launched a large-scale socio-economic development program to support local communities in Cabo Delgado province. The Mozambique LNG Foundation, established in 2023 and endowed with a budget of USD 200 million, has already helped create over 8,000 jobs and 7,000 farmers as well as fishermen have received support from the Foundation in Cabo Delgado province.

“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. We are now working together to make this project a great success for the people of Mozambique”, said Patrick Pouyanné, Chairman and CEO of TotalEnergies. “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.”

“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. It will have a direct and significant impact on job creation, both in construction phase and in the operational phase, stimulating the national labour market and promoting the capacity-building of Mozambican manpower.

“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,” said His Excellency Daniel Chapo, President of the Republic of Mozambique.