Mozambique’s gas now Europe’s solution as drones hit Qatar

Instability in the Middle East has placed Europe’s LNG supply under pressure.

By Leon Louw founder of WhyAfrica and Endorphin Expeditions  

Earlier this year Patrick Pouyanné, Chairman and CEO of French oil giant TotalEnergies met Daniel Chapo, President of Mozambique in Afungi in the Cabo Delgado Province of Mozambique to discuss onshore and offshore activities in the Rovuma basin.

Following the meeting they announced the full restart of all activities after a Force Majeure of more than four years.

The timing couldn’t be better as Europe scampers to diversify its Liquified Natural Gas (LNG) supply after attacks in the Middle East and bottlenecks in the Strait of Hormuz.

Qatari LNG plants in Ras Laffan and Mesaieed (two of the world’s largest LNG production hubs) were struck by drones and missiles last week.

As a result, QatarEnergy announced a halt in LNG production and exports.

Europe, and especially Italy, gets a significant portion of its LNG from Qatar after diversifying away from Russian pipeline gas after 2022.

Hopes that Rovuma will deliver

French and Italian companies have a substantial presence in Mozambique and hopes are high that Rovuma will start delivering sooner rather than later.

According to Pouyanné construction activities have now restarted both offshore and onshore at Afungi site, with over 4000 workers currently mobilised of which over 3000 are Mozambican nationals.

First LNG is expected in 2029 as the project progress is currently at 40%.

“Engineering and procurement of most equipment that will be used in the project were executed during the force majeure period,” says Pouyanné.

Italian companies are heavily invested in the Rovuma basin.

Eni’s presence in Mozambique

Rome headquartered Eni operates the Coral South floating LNG facility offshore northern Mozambique.

This project, known as Coral South FLNG, began exporting liquefied natural gas in 2022 and marked Mozambique’s first LNG exports.

The floating facility processes gas directly at sea, avoiding the need for extensive onshore infrastructure.

Eni is now moving ahead with a second floating unit, Coral North, which will further expand offshore production in the coming years.

Italian engineering group is part of the consortium contracted to build TotalEnergies’onshore liquefaction plant in Afungi.

Once completed, the TotalEnergies project will transform Mozambique into one of the world’s major LNG exporters.

Mozambique’s location provides a logistical advantage.

LNG tankers can sail directly around the Cape of Good Hope to European regasification terminals, reducing reliance on more vulnerable maritime chokepoints in the Middle East.

Image: Eni’s floating facilities in the Rovuma Basin. Image credit: Eni.

WhyAfrica will be reporting from Rome, Italy later this year to find out more about Europe’s LNG gas supplies and the impact of the Middle East crisis.

Mozambique’s gas now Europe’s solution as drones hit Qatar