TotalEnergies Plans Mozambique LNG Project Restart Amid Improved Security

TotalEnergies CEO Patrick Pouyanne announced that the Mozambique LNG Project, halted since 2021 due to Islamist militant attacks, is ready to resume operations with production expected to start in 2029. The $20 billion project, which includes two gas liquefaction units on the Afungi Peninsula, was suspended after a major terrorist attack in Palma, Cabo Delgado province, prompting a force majeure declaration by TotalEnergies. The company and the Mozambican government are currently finalizing an updated development plan and budget to address the impact of the suspension. Exxon Mobil, also involved in a related Rovuma LNG project, is seeking security guarantees from Mozambique's President Daniel Chapo before proceeding, aiming for a final investment decision by 2026. Both companies emphasize the importance of improved security in the region to restart their projects, which are vital for Mozambique's economic development. The Export-Import Bank of the United States recently reapproved a $4.7 billion loan for the Mozambique LNG project, further supporting its restart plans.