Work on the liquefied natural gas (LNG) project led by French energy giant TotalEnergies in Mozambique’s insurgency-hit Cabo Delgado province is set to resume in July this year, according to reports monitored here on Thursday.
The US$20-billion project, which is ranked Africa’s single largest foreign direct investment to date, was mothballed in April 2021 after TotalEnergies withdrew all personnel from the site following jihadist attacks in province in the north of Mozambique.
The reports, which quote CEO Alessandro Puliti who is chief executive of the Italian firm contracted to undertake the mammoth project Sapiem, said operations are expected to resume next month following consultations with the French firm.
“We are following TotalEnergies’ indications about the resumption plan,” Saipem said in a statement.
He added: “We have been told that the security has been improved and as soon as there will be the right conditions to re-start we will be ready.”
As well as the development of offshore gas fields, the project includes a liquefaction plant and a fleet of dedicated LNG carriers.
TotalEnergies and its partners – Japan’s Mitsui, Mozambique’s national oil and gas company ENH, Thailand’s PTT Exploration, and Indian firms ONGC Videsh Limited, Bharat Petroleum and Oil India – had previously planned to launch the project in 2024 after discovering a vast quantity of natural gas off the coast of northern Mozambique in 2010.
The project is set to make Mozambique one of the world’s 10 biggest gas exporters, according to estimates.
JN/APA