Mozambique Set to Approve $8 Billion LNG Project with Eni
Maputo, Mozambique – Mozambique is poised to approve a final investment decision for the Coral Norte liquefied natural gas (LNG) project, a meaningful development expected to boost the nation’s energy sector. The agreement, valued at $8 billion, will be signed this Thursday, October 2nd, in Maputo between the Mozambican goverment and Italian energy giant Eni.
Florical mucave, President of the Energy Chamber of Mozambique, announced the impending signing during a roundtable discussion at Africa Energy Week in Cape Town. The Coral Norte project involves the deployment of a floating LNG facility in the Rovuma Basin, off the coast of Cabo Delgado province.
Eni already operates the Coral Sul LNG facility in the same region, having successfully exported its first LNG cargo in November 2022. This new project further solidifies Eni’s presence and investment in Mozambique’s burgeoning gas industry.
beyond Coral Norte,Mozambique is anticipating the restart of the Mozambique LNG project,lead by TotalEnergies,wich was halted following a 2021 jihadist attack. Mucave expressed optimism that TotalEnergies will lift its force majeure declaration and resume the project,representing a $20 billion investment,before the end of the year.
Discussions are also underway with ExxonMobil for a potential $7 billion investment in another gas project in the region, with a final investment decision anticipated by the end of 2026.These projects, which include onshore liquefaction facilities, have the potential to position Mozambique as a major global gas producer, potentially ranking among the top ten by 2040 and contributing 20% of African gas production, according to a 2024 Deloitte report.
