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TotalEnergies Nears Resumption of USD 20 bn Mozambique LNG Project as Force Majeure Lift Looms

TotalEnergies Nears Resumption of USD 20 bn Mozambique LNG Project as Force Majeure Lift Looms

(3 Minutes Read)

The multinational oil company TotalEnergies, operator of the USD 20 billion Mozambique LNG natural gas megaproject, is taking firm steps towards lifting the “force majeure” clause, triggered in 2021 following worsening security in Palma district, Cabo Delgado province.

The announcement of the formal resumption of operations, although not yet confirmed, is imminent and represents a crucial milestone for the Mozambican economy. Speaking during the handover of social infrastructure to local communities in Palma on Saturday (06-09), TotalEnergies’ general manager in Mozambique, Maxime Rabilloud, confirmed that the company was finalizing the details for restarting the project on the Afungi peninsula.

“We are preparing to lift the force majeure. We are working hard to restart the project,” the manager stated during the handover of a 1.7-kilometre road, budgeted at USD 2.6 million and connecting the communities of Senga and Quitunda, where 600 resettled families live.

According to the French multinational’s representative in Mozambique, the complexity of the restart details at the Afungi site could slightly alter the projections of TotalEnergies’ general manager, Patrick Pouyanné, who expected a resumption by the middle of this month, but believes that current progress is meeting high expectations.According to Rabilloud, the project’s engineering works are 90% complete, including critical components for the installation of the natural gas liquefaction unit.

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The four-year shutdown, which began in March 2021, has generated uncertainty in the business community and hampered growth expectations in several sectors. However, TotalEnergies has maintained significant social investments, including roads, community electrification, schools and health centres, in a strategy that seeks to build strong ties with local residents.

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