Mozambique LNG work to resume in 12-18 months: AfDB
TotalEnergies' $20bn Mozambique LNG project could take 12 to 18 months to be put back on track, the African Development Bank (AfDB) told Reuters on August 27.
The French operator declared a force majeure on the development in April, following further attacks in gas-rich north Mozambique by Islamist insurgents. It said at the time it envisaged a delay of at least a year. Mozambique LNG was previously due to start production in 2024.
Mozambique has since secured the support of troops from Rwanda and other members of the Southern African Development Community to help put down the insurgency. According to AfDB president Akinwumi Adesina, the disruption does not undermine the project's long-term viability.
"The return of security in that place will give assurances to Total and others to return," he told Reuters. "In one year to 18 months, I expect it to be stabilised enough to get back on track."
The AfDB is supporting the project with a $400mn loan.