Page 13 - AfrOil Week 35 2021

AfrOil PROJECTS & COMPANIES AfrOil

“The return of security in that place will give regained control of Mocimboa da Praia, a port
assurances to [TotalEnergies] and others to in Cabo Delgado that was seized by ASWJ in
return,” he told Reuters. “In one year to 18 August 2020. Mozambique’s Minister of Min-
months, I expect it to be stabilised enough to get eral Resources and Energy Max Tonela said last
back on track.” month that he hoped these successes marked a
He added: “Without security, you can’t have step in the right direction.
investment and you can’t have development.” When asked whether this development
The AfDB president went on to say that he might prompt TotalEnergies and its partners to
did not believe the suspension of work on the resume work on the Afungi Peninsula, Tonela
Mozambique LNG plan would have a negative struck a note of cautious optimism. Construc-
effect on the project’s long-term economic via- tion can only be restarted if the area is made
bility. He also expressed understanding of the secure again, but the consortium is commit-
French major’s decision to declare force majeure ted to moving ahead with its investments in
and suspend work at the site of its LNG plant Mozambique, he said.
earlier this year, noting that the project had been TotalEnergies is the operator of the Mozam-
facing serious threats because of attacks by an bique LNG consortium, and its subsidiary Total
Islamist group known as Ahlu Sunnah Wah- E&P Mozambique Area 1 has a 26.5% stake in
Jamo (ASWJ). the project. The remaining equity is divided
“It gave us real concern when Total declared between two Japanese companies, Mitsui and
force majeure and they had to move out,” he Japan Oil, Gas and Metals National Corp. (JOG-
commented. “But you can understand because MEC), which have a combined stake of 20%;
of the insecurity situation.” Mozambique’s national oil company (NOC)
TotalEnergies has stated that it intends to ENH, with 15%; Bharat Petroleum (India), with
resume work on the Mozambique LNG project 10%; ONGC Videsh Ltd (OVL) (India), with
once security conditions in northern Mozam- 10%; Beas Rovuma Energy Mozambique (a
bique are sufficiently improved, but it has not 60:40 joint venture between OVL and Oil India
said exactly when that might happen. Reuters Ltd, or OIL), with 10%; and PTTEP (Thailand),
asked the French company to comment on with 8.5%.
Adesina’s remarks last week, but it declined to The partners aim to extract gas from Area 1,
do so. which lies offshore within the Rovuma basin,
Speculation about a restart of the Mozam- and use it as feedstock for the LNG plant. This
bique LNG project began rising a few weeks facility will eventually have two production
ago, after Mozambican and Rwandan troops trains, each with a capacity of 6.44mn tpy. ™

The proposed assessment would not cover Angola’s inland basins (Image: ANPG)

Week 35 01•September•2021 www. NEWSBASE .com P13