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Reading: Mozambique Signals Readiness to Restart $20 Billion TotalEnergies LNG Project After Security Improvements
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Mozambique Signals Readiness to Restart $20 Billion TotalEnergies LNG Project After Security Improvements

Mozambique Signals Readiness to Restart $20 Billion TotalEnergies LNG Project After Security Improvements

Taha Sakr
Last updated: July 15, 2025 7:25 pm
By Taha Sakr 3 Min Read
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Mozambique’s government has declared that conditions are now in place for French energy giant TotalEnergies to resume its multi-billion-dollar liquefied natural gas (LNG) project in the troubled Cabo Delgado province. The announcement comes more than three years after the project was halted due to a deadly insurgency in the north of the country.

Speaking to Portugal’s state news agency Lusa on Monday, Mozambique’s Minister of Energy Estêvão Pali said that authorities have made significant progress in restoring security and stabilizing the region. He emphasized that “the Mozambican state has worked tirelessly to create an environment conducive to the return of major investors,” adding that “the conditions necessary for the resumption of the project have now been met.”

The $20 billion LNG project, led by TotalEnergies, is one of the largest private investments in Africa and is viewed as critical to Mozambique’s economic transformation. However, operations were suspended in 2021 after insurgents linked to the Islamic State carried out a major attack on the nearby town of Palma, forcing the evacuation of hundreds of workers from the Afungi project site.

Last Thursday, TotalEnergies CEO Patrick Pouyanné held talks in Maputo with President Daniel Chapo to discuss the next steps for reactivating the project. While no official timeline has been given for resumption, the meeting was seen as a strong signal that progress is underway.

Security has reportedly improved in parts of Cabo Delgado thanks to joint military operations between Mozambican forces and troops from Rwanda and the Southern African Development Community (SADC). Humanitarian access has also expanded, although thousands remain displaced.

If resumed, the project is expected to deliver long-term economic benefits, including job creation, increased exports, and significant revenue for the state. It could also position Mozambique as a key player in the global LNG market, especially as Europe and Asia look for alternative energy sources.

TotalEnergies has maintained that any return to operations must be accompanied by a stable security and humanitarian environment. Minister Pali confirmed that the government has been in constant dialogue with the company to address its concerns.

Analysts say the revival of the LNG project could serve as a turning point for Mozambique, but caution that sustained peace and transparency will be essential for long-term success.

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