Eni Finalizes Second FLNG Project Doubling Mozambique Gas Output

Italian energy company Eni, along with its partners CNPC, Kogas, ENH, and ADNOC's subsidiary XRG, has approved the final investment decision for the Coral North floating liquefied natural gas (FLNG) project off the coast of Mozambique. This project, expected to be operational by 2028, will double Mozambique's LNG production capacity to over 7 million tons annually, positioning the country as the third-largest LNG producer in Africa. Coral North will replicate and improve upon the Coral South FLNG unit, which started exports in 2022, and is projected to generate $23 billion in tax revenues and $3 billion in contracts for local companies, while also boosting employment and industrial development. The project avoids onshore security issues seen in other LNG developments in the region by being located offshore, which has helped advance its timeline despite regional insurgency concerns. The signing ceremony was attended by Mozambique President Daniel Francisco Chapo and Eni CEO Claudio Descalzi, highlighting the strategic importance of this development for Mozambique's economy and energy sector. Eni has been active in Mozambique since 2006, having discovered significant gas reserves in the Rovuma Basin, underpinning its long-term commitment to the region's energy infrastructure.