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French energy giant TotalEnergies announced Thursday it will resume its $20 billion liquefied natural gas project in northern Mozambique, a major development that had been suspended since 2021 due to insurgent violence in the region.
“The force majeure is over,” declared TotalEnergies CEO Patrick Pouyanné during an event in Afungi, the project site in Mozambique’s gas-rich Cabo Delgado province. Pouyanné, speaking alongside Mozambican President Daniel Chapo, said the company expects first gas deliveries by 2029, with “a massive ramp-up of activity in the coming months.”
The project represents one of Africa’s largest energy investments and has been widely anticipated as a potential economic game-changer for Mozambique, a nation of 34 million people struggling with poverty despite its abundant natural resources.
TotalEnergies halted operations in April 2021 as an Islamist insurgency escalated across Cabo Delgado, claiming thousands of lives and displacing more than one million people. The violence severely destabilized communities near the project site and raised concerns about the viability of major investments in the region.
The security situation has improved following military interventions by regional forces. Mozambique enlisted troops from the Southern African Development Community (SADC) and Rwanda to combat the insurgency. While SADC forces withdrew earlier this year when their mandate expired, Rwandan troops remain deployed in the area, helping to maintain relative stability. Despite this progress, security analysts note that sporadic clashes continue in parts of the province.
President Chapo, who was elected in 2024 on promises of economic recovery and enhanced security, hailed the project’s resumption as transformative for the region’s reputation.
“When you talk about Cabo Delgado, terrorism is the first thing that comes to mind,” he acknowledged. “And it was necessary to show the world, the country, the region, and the continent that in Cabo Delgado, in Afungi, the work has actually resumed.”
Chapo characterized the restart as “a decisive step in the strategy of Mozambique to develop its resources, grow its economy, create jobs,” and “a milestone for the resumption of economic growth and confidence in the future.” He emphasized that the project would generate billions of dollars in revenue for his government, which holds a minority stake alongside investors from India, Japan, and Thailand.
The LNG project is expected to be a significant employment generator in a region that has suffered from underdevelopment and economic marginalization. According to Pouyanné, more than 4,000 workers will be employed, with 80 percent being Mozambican nationals. The project includes training programs for local youth in various trades such as carpentry and electrical work.
Energy analysts view the restart as significant not only for Mozambique but for global energy markets. The development could position Mozambique as a major player in the international LNG market, particularly important as Europe seeks to diversify its energy sources away from Russian gas following the Ukraine conflict.
“TotalEnergies’ recommitment sends a positive signal to other investors who have been watching the security situation closely,” said Ibrahim Bayou, an Africa energy analyst at the Global Resource Institute. “It could potentially trigger a wave of renewed investment interest in Mozambique’s vast natural gas reserves.”
Environmental groups, however, have expressed concerns about the project’s potential ecological impact and questioned the long-term wisdom of major fossil fuel investments amid the global push for renewable energy.
During the announcement, Pouyanné also pledged humanitarian assistance to Mozambique following devastating floods earlier this month that killed approximately 300 people across Mozambique, South Africa, and Zimbabwe, according to UN agencies. The floods have compounded challenges in a region already grappling with food insecurity and limited infrastructure.
The resumption of the gas project offers a glimmer of hope for economic revival in a country that continues to face multiple challenges, from climate disasters to recovery from years of conflict.
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14 Comments
The resumption of this massive LNG project is a positive step, but the ongoing insurgency remains a major concern. Mozambique will need to demonstrate it can provide adequate security for such a high-profile investment to succeed.
Absolutely. The security challenges in Cabo Delgado province have been severe, and TotalEnergies will need to be extremely vigilant to protect its operations and personnel. Mozambique’s government must also continue its efforts to stabilize the region.
This is a bold move by TotalEnergies, but I’m skeptical about the long-term viability of the project given the persistent security risks in Mozambique. The company will need to have robust contingency plans in place.
This is an important development for Mozambique’s energy and economic future. The $20 billion TotalEnergies project could be a game-changer, but the security situation remains a significant risk factor. I’m curious to see how the company manages the ongoing insurgency challenges.
Agreed. Securing the project site and ensuring the safety of workers will be critical for TotalEnergies. The violence in Cabo Delgado has been devastating, so maintaining stability will be a major challenge.
While the potential economic benefits of this LNG project are significant for Mozambique, the security situation remains a major wild card. I’ll be closely monitoring how TotalEnergies navigates the ongoing insurgency challenges.
Agreed. The company’s ability to protect its workers and assets will be crucial to the project’s success. Mozambique’s government will also need to demonstrate it can provide a stable operating environment for TotalEnergies.
This is an encouraging sign for Mozambique’s energy sector development, but the security risks are still very real. I hope TotalEnergies has thoroughly assessed the situation and has a robust plan to protect its workers and assets.
Mozambique desperately needs the economic boost that this LNG project could provide. However, the insurgency threat remains a major vulnerability. I’ll be watching closely to see how TotalEnergies manages the security challenges going forward.
Agreed. The project’s success will hinge on Mozambique’s ability to provide a safe operating environment for TotalEnergies. The stakes are high, both for the company and the country.
This is a high-stakes gamble by TotalEnergies, but the potential rewards could be huge for Mozambique’s economy. However, the insurgency threat remains a major risk factor that the company will need to manage very carefully.
This is a risky but potentially lucrative move by TotalEnergies. The $20 billion investment represents a massive bet on Mozambique’s future stability. I hope the company has robust contingency plans in place in case the security environment deteriorates again.
The resumption of this massive LNG project is great news for Mozambique’s economy, which has been held back by the insurgency. However, I have some doubts about the long-term viability if the security situation doesn’t improve further.
That’s a fair concern. The violence has been very disruptive, and Mozambique will need to demonstrate it can provide adequate protection for such a high-profile investment. Reliable energy exports could boost the country’s development, but the risks are still significant.