TotalEnergies Lifts Force Majeure on $20 Billion Mozambique LNG Project After Four-Year Suspension

French energy giant TotalEnergies and its partners have officially lifted the force majeure on the long-delayed $20 billion Mozambique LNG project, marking a key step toward restarting operations that were halted four years ago due to militant attacks in the country’s northern Cabo Delgado province.

RoydadNaft – French energy giant TotalEnergies and its partners have officially lifted the force majeure on the long-delayed $20 billion Mozambique LNG project, marking a key step toward restarting operations that were halted four years ago due to militant attacks in the country’s northern Cabo Delgado province.

The notice of lifting the suspension was formally sent to the Mozambican government on Friday, according to a company spokesperson. However, TotalEnergies emphasized that the project will not be fully relaunched until the government approves an updated budget and implementation schedule.

“Before fully relaunching the project, Mozambique’s Council of Ministers needs to approve an addendum to the plan of development,” TotalEnergies said in a statement.

Originally expected to start production in 2024, the 13 million-ton-per-year LNG project is now forecast to come online in 2029, nearly five years behind schedule.

The extended delay and heightened security requirements have significantly increased project costs. Indian partner Bharat Petroleum estimated last year that the four-year suspension added at least $4 billion to the original cost, bringing the total to $24 billion. Negotiations between the shareholders and the Mozambican government are ongoing to determine how the additional costs will be shared.

TotalEnergies, which holds a 26.5% stake and operates the project, has already secured long-term sales contracts for nearly 90% of the plant’s future output. Buyers include China’s CNOOC, France’s EDF, and Shell, while a portion of the gas will be allocated to Mozambique’s state energy company ENH.

Currently 40% complete, the Mozambique LNG project will resume in a limited “containment mode,” with access to the site restricted to air and sea routes for security reasons.

The project’s ownership structure includes: TotalEnergies (26.5%), Mitsui (20%), ENH (15%), Bharat Petroleum (10%), Oil India (10%), ONGC Videsh (10%), and Thailand’s PTTEP (8.5%).

The resumption of Mozambique LNG is seen as a crucial test of the country’s ability to ensure long-term political stability and security, which are key to unlocking its vast offshore natural gas reserves, where major players such as ENI and ExxonMobil also have significant interests.

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