Mozambique clears path for $20 billion TotalEnergies LNG project after years of delay
Mozambique plans to resume TotalEnergies' $20 billion LNG project after addressing previous security concerns.
The project's inception was based on the 2010 discovery of a vast natural gas reserve in Cabo Delgado province.
Operations were halted in 2021 due to security threats from insurgent activities in the region.
Mozambique has created the conditions needed to restart TotalEnergies' massive $20 billion liquefied natural gas (LNG) project, according to the country's energy minister.
The Mozambique LNG project, located in the Cabo Delgado province, was initiated following the 2010 discovery of an extensive natural gas reserve off Mozambique's northern coast. It culminated in a final investment decision of $20bn in 2019.
The French energy giant halted work on the project in 2021 following a deadly insurgent attack near its Afungi site in northern Mozambique. The violence, linked to Islamic State militants, forced TotalEnergies to suspend operations over safety concerns, Reuters reported.
Now, with security in the region improved, though not fully restored, TotalEnergies is preparing to resume development this summer.
Last week, CEO Patrick Pouyanné met with Mozambique's newly elected president, Daniel Chapo, to discuss plans for restarting operations and the progress made in stabilizing the area.
In March 2025, the US Export-Import Bank approved a $5 billion (€4.61 billion) loan to support the Mozambique LNG project, a significant financial boost for the long-delayed development.
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