Total CEO says giant Mozambique LNG project on track

Total’s $20 billion Mozambique LNG project is still on track despite security concerns in the region, according to chief executive Patrick Pouyanne.

The French firm said in early January it had decided to reduce the number of personnel working at the Afungi LNG site due to “security reasons” after an attack in a village near the site.

Pouyanne said during a live webcast of Total’s results and strategy on Tuesday the project had reached a 21 percent completion at the end of last year.

“We face clearly some security issues, as you know, it’s public, and we are working with the Mozambique government. It does not have, at this stage, impact on the planning of the project, which we’ll deliver by 2024,” the CEO said.

He added that works are still mainly in the “engineering phase, a logistical phase, and the offshore works have been maintained.”

“But obviously, the situation on the ground will need to be controlled. And we have a clear plan, securing an area of at least 25-kilometer around the project itself in order to be able to resume the work, which is our intent,” Pouyanne said.

“But my highest priority is security, not only of our staff but also the staff of our partners who work onshore in Mozambique,” he said.

Onshore works restart

In addition, Puyanne said that onshore works could restart by the end of the first quarter.

“I mean to be clear, we all agreed when we met with the government, that the sooner is better, and that we want to remobilize,” he said.

“So if the armed forces and the police are able to recontrol the area that we agree together, I think at the end of the first quarter – we should be able to restart the work,” he said.

“What is very important to us is that we want to be sure that when we remobilize people, we can really engage in a sustainable work there. And we don’t want to reengage and then to stop again,” he said.

The project’s EPC contractor is CCS JV, a venture between Saipem, McDermott, and Chiyoda.

The project includes the development of offshore gas fields in Mozambique’s Area 1 and a 12.8 mtpa liquefaction plant at the Afungi complex in Palma in northern Mozambique.

Moreover, the project will also have a fleet of dedicated LNG carriers.

Besides Total, other partners in the project are Japan’s Mitsui, Mozambique’s ENH, Thailand’s PTT, and Indian firms ONGC, Bharat Petroleum, and Oil India.

- Advertisements -

Most Popular

Shell launches largest bio-LNG plant in Germany

A unit of LNG giant Shell has launched what it says is the largest bio-LNG production plant in Germany. The...

Stena Bulk sells its last LNG carrier

Swedish shipping firm Stena Bulk has sold its last liquefied natural gas (LNG) carrier to an undisclosed Asian buyer. The...

Gulfstream LNG asks US FERC to start pre-filing process

Houston-based Gulfstream LNG is seeking approval from the US FERC to initiate the environmental pre-filing review for its mid-sized...

More News Like This

TotalEnergies: average LNG price down in Q1

French energy giant TotalEnergies, one of the world’s largest LNG players, reported a drop in its average price for...

TotalEnergies pushes back Papua LNG FID to 2025

French energy giant TotalEnergies and its partners have postponed a final investment decision on the planned Papua LNG export...

TotalEnergies expands its US natural gas production

France's TotalEnergies has agreed to buy the 20 percent interest held by Lewis Energy in the Dorado leases operated...

NextDecade expects FID on fourth Rio Grande LNG train in H2 2024

US LNG firm NextDecade still expects to take a final investment decision to build the fourth liquefaction train at...