Mozambique’s LNG gas project “is on track” to produce in 2024 despite the suspension of onshore work due to the proximity of jihadist armed groups, Total’s CEO said on Tuesday.
“It is not because we stopped for two or three months that we will not be able to reach the 2024 target, so the project is on track,” Patrick Pouyanné told a news conference. “So far, on the engineering side it is quite advanced, the offshore work has continued. The onshore work has been suspended,” he explained. The shipyard has “less than 1,000 people” currently versus 5-10,000 normally, Patrick Pouyanné detailed.
The French group, which is the operator of the liquefied natural gas (LNG) project, had evacuated employees from the site still under construction in early January after a series of jihadist attacks just a few kilometres away.
The northern province of Cabo Delgado, which is strategic for natural gas exploration, has been plagued by an Islamist insurgency for more than three years. “The security situation is problematic as jihadi groups have approached within 10 kilometres of the site,” said Patrick Pouyanné.
The CEO had met in January with Mozambican President Filipe Nyusi. At the end of this meeting, Mozambique again pledged to secure the facility. “We agreed that there must be an area of at least 25km around this site that is controlled and preserved,” which “is the responsibility of the government authorities,” Pouyanné said.
The Mozambique LNG project represents a total investment of US$20 billion. Total is the operator of the project and owns 26.5 percent of the project.