Maputo, 25 Sep (AIM) – Mozambican President Filipe Nyusi believes that the French oil and gas giant TotalEnergies is waiting for the outcome of the presidential, parliamentary and provincial elections scheduled for 9 October before it resumes work on its liquefied natural gas (LNG) project in the northern province of Cabo Delgado.
According to the President, who was speaking to reporters, on Tuesday, at the end of his four-day working visit to New York, where he attended various events, including the United Nations General Assembly, TotalEnergies maintains its decision to resume the project, although without a definitive date.
“In these moments of elections, everyone likes to be sure to see how things turn out. So there’s a coincidence of events in Mozambique and here in the USA. TotalEnergies will continue with its projects in Cabo Delgado, but nobody puts money into a time of uncertainty”, Nyusi said.
According to the President, the French multinational intends to see the election outcome in order to be sure that its investment will be or not at risk.
“These projects come in with a lot of money, and conscious people do not invest their money into swampy ground, at a time of uncertainty”, he said.
TotalEnergies heads the consortium which operates the Mozambique LNG project, located on the Afungi peninsula, in the Cabo Delgado district of Palma.
In April 2021, TotalEnergies declared force majeure to suspend all activities on the project, due to a major terrorist raid against the town of Palma.
The Mozambique LNG Project, budgeted at 20 billion dollars, began with the discovery of over 65 trillion cubic feet of natural gas in the Rovuma Basin, which led TotalEnergies and its partners to take a Final Investment Decision in 2019.
The project includes two gas liquefaction units to be built on the Afungi Peninsula, with an expansion capacity of up to 43 million tonnes per year.
Since October 2017, Cabo Delgado has been the target of terrorist attacks that have killed more than 3,000 citizens and caused more than 900,000 people to flee to safer places, triggering a humanitarian crisis.
(AIM)
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