No certainty yet on resumption of gas megaproject in 2022

The Minister of Economy and Finance said Thursday he could not guarantee that the gas megaproject would resume this year, but said there were positive signs from the partners in the deal.

"I can't say for sure, it depends on the evolution [of the security situation in the region], but there is a positive sign from the concessionaires and an expectation taking into account what is actually happening and there are frequent visits by the operator," Max Tonela told Lusa, when asked whether Total's megaproject, suspended a year ago due to the attacks in Cabo Delgado, will resume this year.

Speaking to Lusa on the sidelines of the annual meetings of the African Development Bank (ADB), in Accra, the minister said that the first export of the liquefied natural gas production plant project at sea, in the Rovuma basin, is scheduled for the beginning of October.

"The platform is already in Mozambican waters. It is in the process of being installed and connected to the six wells. We expect production to begin gradually (...) and that the first export operation will take place in early October of this year," when the platform will be operating at full capacity, he explained.

According to Tonela, this advance "will already contribute to increased revenues, especially from exports.

About the process interrupted by the terrorist action, the minister said that "there is work going on with the concessionaires, the Government is in permanent contact".

"We are together evaluating the progress of the stabilization process, therefore, of the improvement of security conditions. There is a positive reading from the partners," he said, adding that the government is trying to "create conditions so that, safely, both the populations and the projects can proceed as soon as possible.

"The decision will be made depending on the developments that will occur in these matters in the coming months," he stressed.

Asked about the financing of the military effort in Cabo Delgado, whose size - 275 million euros per year - led the Mozambican president to ask for international help in March, the minister explained that the government has been working to mobilize resources to ensure that the mission is implemented successfully, as the capacity of the Mozambican forces is also being adapted to the reality of the fight against terrorism.

The Rovuma project, led by Total, was the largest private investment in Africa until it was suspended in March due to armed attacks in Cabo Delgado.

Cabo Delgado province is rich in natural gas, but terrorized since 2017 by armed rebels, with some attacks claimed by the extremist group Islamic State.

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