Chapo relaunches LNG project

Maputo, 29 Jan (AIM) – Mozambican President Daniel Chapo on Thursday relaunched the “Mozambique LNG (Liquefied Natural Gas)” project in Palma district, in the northern province of Cabo Delgado.

He was accompanied by Patrick Pouyanne, the Chief Executive Officer of the French oil and gas company, TotalEnergies.

TotalEnergies heads the Mozambique-LNG consortium that plans to extract and liquefy the gas.

The project, however, came to a halt in when TotalEnergies declared force majeure because of the security situation. Islamist terrorists had launched a major attack against Palma town in March 2021. This precipitated the declaration of force majeure and the withdrawal of foreign staff from the project site.

But by late October 2025, the security conditions had improved to such an extent that TotalEnergies lifted the state of force majeure. The government was confident that there were now no major obstacles to resuming work.

Chapo told the Thursday ceremony in Palma that this day marked “the total effective resumption” of the LNG project. “Today is a day of celebration for Mozambique, Africa and the world”, he said.

“This historic moment represents the victory, resilience, courage and determination of the Mozambican people faced with the adversities which led to the suspension of activities following the declaration of force majeure”, said the President.

He noted that Mozambique now faces a new crisis with the current floods. “But despite the rains and the floods we are passing through now, we are sure that life will return to normal”, Chapo declared.

He stressed the government’s effort to solve the security problems in Cabo Delgado, notably through the Status of Forces Agreement (SOFA) between Mozambique and Rwanda, which provides the legal framework for the continuing presence of Rwandan troops in Cabo Delgado during the construction of the gas liquefaction projects.

“Mozambique remains firmly committed to peace, stability, national reconstruction and sustainable development”, declared Chapo. “Today we reiterate that our country is capable of overcoming challenges, restoring the confidence of national and foreign investors, and establishing the conditions for secure, responsible, lasting and sustainable investments”.

The Mozambique-LNG project is one of the largest LNG projects in Africa, said Chapo, with a forecast annual production capacity of 13.12 million tonnes of LNG over a period of 25 years.

The total investment in Mozambique-LNG is estimated at 15.4 billion US dollars, making it one of the largest private investments ever undertaken in Mozambique.

Chapo predicted that it will play “a catalysing role in the national economy, stimulating local value chains, promoting the transfer of knowledge, driving job creation and boosting the training of Mozambican human capital”.

During its life, Chapo added, it is estimated that Mozambique-LNG will generate revenues for the Mozambican state of 35 billion US dollars.

During the construction phase, the president said, about 17,000 workers will be hired, the great majority of them Mozambicans from Cabo Delgado.
(AIM)
Pf/ (473)