Latest news with #MozambiqueLNG
Zawya
30-06-2025
- Business
- Zawya
TotalEnergies Eyes Mozambique Liquefied Natural Gas (LNG) Project Resumption in 2025
Energy major TotalEnergies is looking at resuming operations at the Mozambique LNG project in 2025. The company declared force majeure in 2021 due to security concerns, but is eyeing resumption later this summer. Once completed, the $20 billion project will feature two liquefaction units with a capacity of 13 million tons per annum (mtpa) – expandable to 43 mtpa. This will position Mozambique as the second largest LNG producer in the world. Situated in Area 1 of the Rovuma Basin, Mozambique LNG will monetize up to 65 trillion cubic feet of recoverable gas resources, targeting high-demand markets in Asia and the Middle East. Supported by $14.9 billion in senior debt financing – the largest in Africa – the project is backed by a $4.7 billion loan by the US Export-Import Bank – reapproved in March 2025. With the eminent resumption of operations, TotalEnergies' Mozambique LNG project is poised to become an instrumental project in Southern Africa. TotalEnergies is a Platinum Sponsor of this year's African Energy Week (AEW): Invest in African Energies conference – taking place September 29 to October 3 in Cape Town. AEW: Invest in African Energies is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit for more information about this exciting event. Mozambique LNG is just one of several ambitious oil and gas developments spearheaded by TotalEnergies in Africa. The company has an extensive footprint across the continent, with key investments in upstream oil and gas processing and midstream infrastructure. In South Africa, TotalEnergies is preparing to begin offshore drilling in 2026, pending final regulatory approval. The company became operator of offshore Blocks 3B/4B in August 2024, situated in the southeast section of the prolific Orange Basin. The blocks lie in proximity to the TotalEnergies-led Venus field in Namibia, in which the company is targeting a final investment decision in 2026 and first oil by 2029. Beyond Venus, TotalEnergies is exploring additional prospects in the Orange Basin. The company recently drilled the Marula-1X and Tabmoti-1X wells, seeking additional discoveries offshore Namibia. Meanwhile, in the Republic of the Congo, TotalEnergies is investing $500 million in the development of new wells, striving to increase production at the Moho Nord field. The investment aligns with broader plans by the company to unlock greater value from its operated assets and will provide a much-needed boost to Congolese oil blocks. In 2024, TotalEnergies deployed two deepwater rigs in the country – one at the Moho permit and one at the Marine permit. The exploration phase has been complete, with drilling activities officially underway. Two well have been drilled to date, with a third well in progress and a fourth being planned. Drilling activities come as TotalEnergies expands its presence in the country, increasing its stake in the Moho permit by an additional 10%. TotalEnergies is also accelerating the development of the Marine XX permit – a deepwater block currently in the exploration phase. Appraisal activities are ongoing and will support a potential discovery. In the midstream sector, the company is gearing up for the start of operations at the East African Crude Oil Pipeline (EACOP) – connecting Uganda's Tilenga and Kingfisher oilfields with Tanzania's Port of Tanga. The Tilenga project is on track for first oil in 2025, with EACOP offering a direct route to export markets. TotalEnergies is also expanding its renewable energy portfolio in Africa, with strategic investments in solar and green hydrogen projects. These include a 500 MW Sadada solar project in Libya; a 250 MW Bujagali Hydropower project in Uganda; a 216 MW solar facility in South Africa; and the 1 GW Chbika project in Morocco. TotalEnergies' AEW: Invest in African Energies sponsorship reflects its broader commitment to Africa's energy future. The company's multi-energy strategy – incorporating upstream oil, natural gas projects, midstream infrastructure and renewables – is expected to unlock significant benefits for the countries in which it operates, highlighting the instrumental role diversified energy portfolios play in Africa. Distributed by APO Group on behalf of African Energy Chamber.
eNCA
27-06-2025
- Politics
- eNCA
Mozambique probes claims of army atrocities near TotalEnergies site
Mozambique's human rights commission said on Friday it has opened an investigation into media reports of deadly abuses by government soldiers against villagers fleeing jihadist unrest near a major TotalEnergies gas plant. Politico reported in September that soldiers tasked with protecting the French fossil fuel giant's site had rounded up villagers following a major attack in 2021 and locked between 180 and 250 into containers, accusing them of being part of an insurgency. The men were held for three months and beaten, suffocated, starved and tortured, with only 26 surviving, according to the report by journalist Alex Perry based on interviews with survivors and witnesses. "If true, the facts alleged in the article may constitute crimes of summary execution (murder) torture and other cruel, degrading or inhuman treatment," the National Human Rights Commission (CNDH) said in a statement. A team of investigators was in place and consulting with officials from the northern Cabo Delgado province, the statement said. They would visit the area to collect statements from witnesses and victims, and also meet representatives of Mozambique LNG, the local subsidiary of France's TotalEnergies. A final report would include recommendations on accountability and possible reparations for victims, it said, without giving a timeline. Mozambique LNG said last year it had no knowledge of the atrocities alleged to have been carried out between April and July 2021. In March 2021 Islamic State-linked militants active in Cabo Delgado since 2017 attacked the port town of Palma, a few kilometres from the TotalEnergies site, sending thousands of people fleeing. Conflict tracker ACLED estimated that more than 800 civilians and combatants were killed while Perry reported, after an investigation, that more than 1,400 were dead or missing. The multi-billion-dollar liquefied natural gas project, a major boon for impoverished Mozambique, has been stalled since then.
Zawya
14-03-2025
- Business
- Zawya
The African Energy Chamber (AEC) Thanks Trump Administration for Supporting Mozambique Liquefied Natural Gas (LNG) Project After Export-Import Bank of the United States (EXIM) Re-Authorizes $4.7B Loan
The African Energy Chamber (AEC) ( as the voice of Africa's energy sector, expresses its sincere appreciation to the Trump administration for its unwavering support in advancing the Mozambique LNG project, a monumental initiative led by TotalEnergies that is set to reshape the energy landscape in Mozambique and across Africa. The U.S. Export-Import Bank has approved its $4.7 billion loan for the project, a decision that provides a much-needed boost to one of the continent's most significant energy investments. The reauthorization of this funding marks a pivotal moment in the ongoing development of Mozambique's natural gas resources, which have the potential to transform the nation's economy and solidify Africa's position in the global energy market. The approval, initially granted during the Trump administration's first term, signals a critical shift in US policy – one that recognizes the importance of US leadership in fostering energy security and economic development in Africa. This project, which has been on hold since 2021 due to security concerns in the Cabo Delgado province, is now positioned to proceed thanks to the renewed backing from the U.S. The Mozambique LNG project represents one of the largest LNG investments in Africa – reaching a landmark $20 billion final investment decision in 2019 – with the potential to not only stimulate the Mozambican economy, but also provide a key source of natural gas to meet the growing energy demands of Asia and other international markets. Targeting approximately 65 trillion cubic feet of recoverable natural gas, the project features a planned capacity of 13 MTPA with expansion capacity of up to 43 MTPA, playing a crucial role in the global transition to more sustainable energy sources. The decision to approve the funding will also support American jobs, as U.S. subcontractors are expected to receive up to 30% of the contract value, further strengthening the economic ties between the U.S. and Africa. This partnership demonstrates the value of American investment in African natural gas and energy development, underscoring the shared commitment to global energy security. This development underscores the Trump administration's recognition of the crucial role energy investments play in fostering economic growth, security and stability in Africa. By backing the Mozambique LNG project, the administration has reinforced its commitment to strengthening US influence in the region while contributing to a more diversified global energy mix. This decision also sets a strong precedent for future energy projects in Africa, signaling to international stakeholders that the US remains a reliable partner in driving sustainable development. The Mozambique LNG project is not only key to unlocking economic potential, but also serves as a model for future U.S.-backed initiatives focused on energy infrastructure, job creation and sustainable growth across the continent. 'The AEC encourages ongoing collaboration between governments, investors and development partners to ensure the successful delivery of the Mozambique LNG project and similar ventures across Africa,' says NJ Ayuk, Executive Chairman, African Energy Chamber, adding 'The support of the U.S. government, along with the efforts of TotalEnergies and other key stakeholders is essential in driving Africa's transition to a more diversified and sustainable energy future.' Looking ahead, it is crucial for other international partners to reaffirm their commitment to the Mozambique LNG project, helping ensure it stays on track to reach its full potential. The development of Mozambique's natural gas reserves is not merely an investment in energy – it is an investment in Africa's future. With continued support from the U.S. and global partners, this vision will become a reality. Distributed by APO Group on behalf of African Energy Chamber.
Zawya
11-02-2025
- Business
- Zawya
Africa's Role in Global Liquefied Natural Gas (LNG) Markets: Potential and Risks (By NJ Ayuk)
By NJ Ayuk, Executive Chairman, African Energy Chamber ( The global energy marketplace is shifting toward the acceptance of natural gas as a pivotal component in the transition to cleaner energy solutions, and rightly so. Africa, with its vast untapped gas reserves, has significant opportunities in the global liquefied natural gas (LNG) trade, a market that has quadrupled over the past few decades. However, a host of challenges shadow this potential and threaten to impede its realization. In our recently released 2025 Outlook Report, The State of African Energy, the African Energy Chamber (AEC) covers the dynamics of Africa's involvement in the LNG sector, exploring both the potential gains and the inherent risks. Promise on the Horizon Africa's natural gas reserves are substantial, accounting for approximately 6% of global gas supply, with an expected growth of about 15% by 2030. This growth, albeit modest compared to other regions, underscores Africa's overall LNG potential, considering that global gas demand is projected to increase at a compound annual growth rate (CAGR) of 1.5% until 2030 and LNG represents approximately 10-15% of that demand. As covered by our report, an additional 1,000 billion cubic meters (bcm) of supply from pre-final investment decision (FID) projects will be needed to meet the anticipated 2030 demand, and African nations are poised to fill this need. Countries like Mozambique, Nigeria, Senegal and Mauritania are positioned to contribute the most. Mozambique, for instance, is on the brink of becoming a major LNG exporter with projects like Mozambique LNG, which, once operational, could significantly boost the continent's LNG export capacity. The strategic geographical advantage of Africa cannot be overstated. With close proximity to both the European and Asian markets, African LNG could easily find buyers seeking to diversify their energy sources, particularly in Europe, which has been looking for alternatives amid fluctuating relationships with traditional suppliers like Russia. This strategic positioning presents a unique opportunity for Africa to not only expand its economic base through energy exports but also to accelerate local industrial and infrastructural development. Economic and Environmental Benefits The economic benefits of LNG development in Africa are numerous. Job creation, both in the construction and operational phases of LNG projects, would stimulate local economies and offer new employment opportunities to thousands. Furthermore, the revenue generated from LNG exports could be transformative, potentially funding social programs, improving and expanding healthcare services, education and public infrastructure. Nigeria, for example, has already benefited from its LNG revenues, enhancing its industrial capabilities around gas-related industries as evidenced by a 45% reduction in gas flaring and a massive 260% increase in production since 2000. As a more specific example of such benefits, the Nigerian LNG company Nigeria LNG Limited (NLLNG) co-funded the 34-kilometer Bodo-Bonny Road project, committing to 50% of the project's funding - an amount totaling N60 billion. NLLNG also worked with the Nigerian Conservation Foundation to preserve the Finima Nature Park on Bonny Island. Continuing on the environmental front, while natural gas is admittedly not an emissions-free fuel source, it is significantly cleaner than coal or oil, offering a transitional pathway toward more sustainable energy practices. Increased adoption of natural gas will help countries in Africa reduce their dependence on more polluting fuels, shrink their current carbon footprints, and get them closer to their climate commitments. However, delivering on these benefits depends on the implementation of stringent environmental standards to mitigate methane leaks, which have a higher potential for negative impact compared to carbon dioxide (CO2). Navigating Through the Risks Despite the great potential of a much larger African presence in the global LNG trade, several risks darken the doorway to an otherwise brighter future. The security of LNG production and distribution sites as well as the overall political stability of their host nations are two of those risks. The development of LNG projects in Mozambique, for example, has been significantly delayed due to insurgency and civil unrest. Such security issues extend project timelines, increase costs, decrease investor confidence, and deter future investment. Issues concerning regulation and financing present additional risks. Many African countries inadvertently promote regulatory uncertainty, which unnecessarily complicates project approvals and amplifies the financial risk for investors. Securing financing for these large-scale projects is already enough of a hurdle, especially when international investors are wary of the political and economic stability of the region. The likelihood of remaining competitive is another concern. With North America, Russia and the Middle East leading in gas supply growth, Africa's LNG industry could face difficulty in finding a secure foothold in the competitive global market. There's also the risk of market oversaturation, where supply outpaces demand, which could lead to lower prices or stranded fossil fuel assets. The lack of adequate infrastructure for both export and domestic use of LNG presents another barrier to success in this arena. Projects under consideration like the West African Gas Pipeline and the Trans-Saharan Gas Pipeline, which would run west from Nigeria to Ghana and north to Algeria respectively, aim to address this deficiency, but they will require immense capital and cross-border cooperation, which can be challenging to secure. Finally, there is much to consider regarding Africa's environmental health. The environmental impact of LNG projects, particularly ones in ecologically sensitive areas, must be managed with care. The global push towards sustainability will also undoubtedly challenge the long-term viability of any fossil fuel projects unless they are paired with significant environmental safeguards or carbon management strategies. Strategic Pathways Forward To capitalize on their LNG potential while mitigating risks, African nations engaged in LNG production must consider a number of actions to either remedy or prevent fallout from these issues. Improving security environments and governance structures will be crucial to attract and retain investment. This includes transparent legal frameworks and active community engagement. To support a much greater role in the global market, Africa's LNG producers must ensure that addressing political instability and boosting site security become and remain top-tier initiatives. In addition, diversifying export relationships, rather than relying on a single market, should help ensure continued income streams that can withstand guaranteed but unpredictable market fluctuations. Similarly, developing more localized natural gas markets can foster a greater degree of self-sufficiency when it comes to both financial and energy security. To acknowledge and address environmental concerns, both current and prospective LNG projects must incorporate environmental sustainability through investments in carbon capture and storage and/or through local renewable energy projects that run alongside LNG production developments. To not only secure the necessary funding, but to also bring outside LNG production expertise to the negotiating table, African LNG producers must do the work to establish strategic partnerships with foreign nations and form enthusiastic alliances with international LNG firms. Lastly, looking beyond the establishment of LNG production facilities, garnering investment in comprehensive infrastructure like pipelines, ports and local distribution networks is also essential. Achieving this balance can serve dual purposes in supporting both future exports and domestic energy needs. As detailed in our 2025 Outlook Report, the next decade will be critical in determining whether Africa can turn its LNG potential into a sustainable reality that benefits all stakeholders involved. Taking a realistic look at Africa's current position in the global LNG market means acknowledging that it is marked by both promise and the potential for peril. The African continent definitely has what it will take to become a significant player, and by following through, African LNG producers could contribute greatly to both the continent's economic growth and the global energy mix. This outcome will require careful navigation through a complex web of political, economic, environmental and market-related challenges. But with strategic foresight, robust governance, and a commitment to sustainability, Africa can harness its natural gas resources not just for export but for the further development of its nations according to many overall quality of life indicators. For more information on this topic and others, access The State of African Energy 2025 Outlook Report at Distributed by APO Group on behalf of African Energy Chamber.
