KEY POINTS
- Mozambique has resumed LNG megaprojects worth about 50 billion dollars led by TotalEnergies and ExxonMobil.
- The developments could generate roughly 400 LNG shipping movements annually and transform Afungi into a major export hub.
- Production targets of 31 million tonnes per year combined could position the country as a leading global gas supplier by 2029.
Mozambique is rapidly strengthening its position as one of Africa’s most important natural gas producers following the revival of massive liquefied natural gas, LNG, projects on the Afungi Peninsula in Cabo Delgado province.
The multibillion-dollar developments, led by TotalEnergies and ExxonMobil, mark a turning point for the country’s energy ambitions after years of delays caused by security concerns, signaling renewed investor confidence in the region’s gas potential.
The projects are projected to generate heavy maritime traffic, with an estimated 400 vessels annually transporting it and condensate from offshore production zones to global markets.
Tender documents show operators are seeking contractors capable of delivering safe and efficient transportation, loading, and offloading services for cargoes originating from Areas 1 and 4 of the Rovuma Basin, underscoring the scale of logistics required to support the ventures.
Production targets position Afungi as strategic energy hub
Area 1, linked to the Mozambique LNG project, is expected to handle around 160 LNG carriers and 10 condensate vessels each year, while Area 4, tied to the Rovuma LNG project, is projected to manage approximately 220 LNG tankers and 15 condensate ships annually.
Combined, this level of activity would transform the Afungi Peninsula into one of Africa’s most significant energy export hubs and a focal point for global LNG trade routes.
The projects represent a major restart after armed attacks in Cabo Delgado forced investors to suspend operations and declare force majeure in 2021.
Momentum returned in October 2024 when TotalEnergies and its partners lifted the clause on the 20-billion-dollar Mozambique LNG project, and in November the ExxonMobil-led consortium followed by lifting force majeure on the 30-billion-dollar Rovuma LNG development, with a final investment decision expected in 2026.
Once operational, Area 4 is expected to produce about 18 million tonnes of LNG annually, while Area 1 is projected to deliver 13 million tonnes per year, with first exports targeted for 2029.
Mozambique already has active production through the Coral Sul floating LNG platform operated by Eni, which has produced roughly 3.4 million tonnes annually since 2022, and a second unit known as Coral Norte has been approved to double capacity from 2028.
