A $150 million senior loan from the AfDB will help unlock $20 billion in fiscal revenues over the project’s lifetime
The African Development Bank has approved a $150 million senior loan to support the Coral North Floating Liquefied Natural Gas project in Mozambique — a mega-infrastructure development by Italian major Eni that could reshape the country’s energy and economic outlook for a generation.
The Coral North project builds on the proven success of its predecessor, the Coral South FLNG, which has been operational since 2022. Located approximately 55 kilometres off the coast of Cabo Delgado province, the new facility will have a capacity of 3.55 million metric tonnes of LNG and is expected to generate around $20 billion in fiscal revenues over its lifetime — a staggering figure for a country still working to consolidate its energy sector.
Beyond export revenues, the project is expected to drive a series of gas-to-power initiatives domestically, generate steady LNG production for clean cooking and industrial development, and supply gas to other nations within the Southern African Development Community. The AfDB’s involvement, facilitated alongside other development finance institutions, export credit agencies, and commercial lenders, is designed to de-risk the project and attract broader private capital.
At a total investment of over $7 billion, the Coral North project positions Mozambique to emerge as one of the continent’s most influential energy suppliers at a time when global LNG demand remains firmly in place.
Source: oilreviewafrica.com