Mozambique President Calls for Collective Security Action to Revive $20 Billion TotalEnergies Gas Project
Mozambican President Daniel Chapo has emphasized that his government and private companies must work collectively to establish necessary security measures enabling TotalEnergies to restart construction of its $20 billion gas project, while acknowledging that risks will persist even with improved conditions.
The project in northern Cabo Delgado province is considered crucial for the southern African nation, which ranks among the world’s poorest. The French oil major halted operations, evacuated workers, and declared force majeure in 2021 following escalating attacks by Islamic State-linked militants.
“Regarding security, it’s relatively stable compared to this past four years, but continuity of this stability doesn’t depend only on the government of the republic but on all partners in that area,” Chapo explained during a Bloomberg interview in Seville, Spain. “If we’re waiting for Cabo Delgado to be a heaven, we won’t lift force majeure.”
The facility, requiring another four years to complete, will liquefy and export extensive gas reserves discovered off northeast Mozambique 15 years ago. The US Export-Import Bank approved a $4.7 billion loan in March, representing the biggest funding component and a key milestone for project restart.
Total continues engineering work and expects to begin LNG production by 2029, according to CEO Patrick Pouyanne. Rwandan troops have provided effective security responses since their deployment, with the European Council approving additional funding in November.
Source: worldoil.com