The National Hydrocarbons Company (ENH) has turned to Société Générale SA (SocGen) to advise on the refinancing plan for its stake in the offshore natural gas project led by Italy's ENI, the Minister of Economy and Finance said Thursday in Washington D.C.

"It is now more attractive to them and less risky to be involved [in the project]," said Tonela, "Now ENH is better able to raise financing to play its role as concessionaire."

Max Tonela revealed that negotiations are underway between the parties, who are already working on the most suitable financial model. In addition, ENH will be taking greater advantage of the high gas prices resulting from the armed conflict in Eastern Europe and the fact that the country is in the final preparations to start exporting the fuel at the end of this year.

The first exports of liquefied natural gas from the Rovuma Basin, whose investment is seven billion dollars, should begin in October, positioning Mozambique as one of the world's largest suppliers of the fuel.

Mozambique has been seeking financing for its stakes in gas projects following giant discoveries of the fuel along its northern coast.

SocGen has been active in projects, appointed as financial advisor to ENH, TotalEnergies and the Gigajoule Group on an LNG import terminal and power plant planned for Maputo province.

Source: Bloombergquint