The multinational oil company TotalEnergies, operator of the US$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 US$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.
“The turbines are already under construction outside the country, and the completed components should begin arriving shortly after the ‘force majeure’ is lifted,” he explained.
The project includes the installation of a maritime logistics base in Afungi, with the capacity to receive ships transporting large industrial equipment.
The infrastructure is considered vital to Mozambique’s transformation into one of the largest exporters of liquefied natural gas (LNG), opening up new sources of tax and export revenue.
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.
“You are from Palma and are witnessing the social projects that TotalEnergies is developing in the communities. You are seeing the movements, and this is a clear sign that we are close to recovery,” said Rabilloud, emphasizing the need for community involvement as legitimate owners of the resources.
The restart of operations is taking place under strict security measures, ensured by national forces and a Rwandan contingent, whose presence was recently reinforced following the meeting between the President of the Republic, Daniel Chapo, and his counterpart in Kigali.
Machinery and equipment are already operating within the perimeter of the Afungi project, a sign that TotalEnergies is moving forward, even before the official announcement. “Right now, there are actions that I have preferred to concentrate within the camp to ensure that this crucial restart phase is free from constraints,” explained the manager.
Mozambique LNG is the largest onshore natural gas liquefaction project in Africa, and its resumption represents an economic turning point for Mozambique. The project is expected to generate thousands of direct and indirect jobs, streamline local supply chains, and consolidate the country as a major player in the global LNG market.
Confirmation of the lifting of the “force majeure” is anticipated as a historic moment for Cabo Delgado and the country, symbolizing not only investor confidence but also the beginning of a new stage in Mozambique’s economic and social development.
Source: AIM Moçambique
