Major African LNG projects in Mozambique and Nigeria are progressing toward Final Investment Decisions, with developers reporting significant advances in commercial, regulatory, and design frameworks that could position Africa to double its share of global LNG trade within the next decade.
Arnie Gibbs, Chair of Mozambique Rovuma Ventures at ExxonMobil, confirmed that the Rovuma LNG project is targeting FID in 2026, expressing optimism about the project’s prospects. He emphasized ExxonMobil’s efforts to increase local content and drive economic development in Cabo Delgado, noting that the project is being redesigned for greater sustainability and cost efficiency. The facility will feature 12 modules, each with a capacity of 1.5 million tonnes per annum.
In Nigeria, Julius Rone, CEO of UTM Offshore, provided updates on the five billion dollar UTM Floating LNG project, confirming it is on track for FID. Vitol has been secured as an off-taker, while Seplat Energy is close to finalizing its collaboration agreement. The FLNG facility will supply liquefied petroleum gas to Nigeria’s domestic market and export LNG to Europe and Asia, strengthening the country’s role in global gas supply chains.
Olakunle Osobu, Deputy Managing Director at Nigeria LNG, noted that Africa currently accounts for just under 10 percent of global LNG trade, but new projects could double this contribution within the next decade. Nigeria remains a leading exporter, with NLNG capacity expected to increase from 22 MTPA to 30 MTPA.
Osobu highlighted ongoing LNG projects across Nigeria, the Republic of Congo, Angola, Mozambique, Mauritania, and Senegal, which together represent more than 45 MTPA of potential supply. If all projects succeed, Africa’s total LNG capacity could reach 120 MTPA by 2035.
Timothy Fakrogha, General Manager of Commercial at NLNG, pointed out that evolving market dynamics, including a shift toward short-term contracts and flexible supply portfolios, are reshaping the LNG landscape. He emphasized that African projects can stand out by delivering low-carbon LNG and maintaining strong environmental, social, and governance performance in an increasingly competitive market.
Federico Petersen, Chief Commercial Officer of Golar LNG, stressed the importance of cost discipline and strategic partnerships, noting that finding affordable gas, identifying the right assets, and securing appropriate partners are essential. He called on governments to support companies through tax incentives, production-sharing agreements, and improved access to foreign exchange to ensure projects remain financially robust.
With strong momentum from both public and private sectors, Africa’s LNG industry is positioned to become a key growth driver in the global energy transition.
Source: angolanminingoilandgas.com