Mozambique Projected Investment In Oil And Gas Deals Hit $31b

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The total projected investment in Mozambique natural gas operations in the Rovuma Basin, northern province of Cabo Delgado, now stands at $31 billion.

The chairperson of Mozambique’s National Hydrocarbon Company, Omar Mitha who announced this said most of this will be consumed in Rovuma Basin Offshore Area One, where the operator is the American company Anadarko.

Addressing a Maputo media conference launching the celebrations of the 35th anniversary of ENH on Thursday, Mitha said that about $4 billion has already been invested and the figure for Area One could reach $24 billion in the coming years.

He broke this sum down as $5.6 billion for the preliminary exploration, $10 billion for building two gas liquefaction plants – known as ‘trains’, $3.3 billion for later development studies, $4.4 billion in interest and bank fees, and $2.6 billion as contingency funds.

Mitha expected Anadarko and its partners to make the final investment decision in the first quarter of 2016, which will then be followed by financial closure with banks financing the project.

He estimated that building the gas liquefaction facilities will take five years as from 2016.


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