TotalEnergies Delays $20 Billion Mozambique LNG Project Amid Security Concerns
French energy giant TotalEnergies has announced further delays to its $20 billion liquefied natural gas (LNG) project in Mozambique, citing persistent security challenges, according to a report by the Financial Times on Wednesday.
The project, located in Mozambique’s volatile Cabo Delgado province, has been on hold since 2021 after Islamist insurgents launched deadly attacks near the construction site. The violence, which claimed dozens of civilian lives, prompted TotalEnergies to declare force majeure and evacuate its personnel.
Plans to restart operations by the end of 2024 have now been pushed back due to renewed violence following Mozambique’s disputed presidential election in October 2024. This delay threatens the company’s goal of commencing production by 2029.
The disputed election saw Daniel Chapo of the ruling Frelimo party assume office last week, amid months of protests from opposition groups. Civil society organizations estimate that over 300 people have been killed in post-election violence.
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In comments to the Financial Times, TotalEnergies emphasized that restoring peace and security in Cabo Delgado remains its top priority. “The lifting of the force majeure is contingent on the resumption of public services and a return to normal life in the region,” the company said.
TotalEnergies has not yet responded to requests for additional comments from Reuters.
The delayed LNG project is critical for Mozambique’s economic development and could position the country as a significant player in the global energy market. However, ongoing instability continues to hinder progress, leaving the project’s timeline uncertain.
