Mozambique: a subcontractor prepares to take over Total’s gas project

The Italian subcontractor Saipem, in charge of the development of the gas project in northern Mozambique for TotalEnergies, expects a possible resumption of operations as early as July despite the jihadist violence that has hit the region.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Saipem, an Italian subcontractor of TotalEnergies, has announced that it is preparing to resume work on a huge gas project in the Cabo Delgado province in northern Mozambique. Operations had been halted in 2021 following a large-scale jihadist attack. TotalEnergies has been cautious in recent months about the possibility of restarting the €16.5 billion liquefied natural gas (LNG) project. Cabo Delgado province has been hit by jihadist violence, which has already caused more than 4,600 deaths and displaced one million people.

Safety conditions seem to be improving

However, Saipem says that following discussions with TotalEnergies, it expects operations to resume as early as July. The subcontractor is following TotalEnergies’ guidance on the recovery plan, saying that safety has improved and that it will be ready as soon as conditions are right to restart. Last month, Patrick Pouyanne, CEO of TotalEnergies, visited the region and met with the Mozambican president. He said he was waiting for the report by writer and former NGO leader Jean-Christophe Rufin to assess the humanitarian situation in the region before making a decision.

A vital project for Mozambique

Mozambique has high hopes for the natural gas deposits – the largest south of the Sahara – discovered in 2010 in the north of the country. However, attacks by armed groups linked to the Islamic State group have cast doubt on the viability of the project. The deployment in 2021 of Rwandan and neighboring forces helped the army regain control of large areas, but sporadic attacks continue.

The gradual resumption of the project should therefore enable Mozambique to revive its economy and give hope to the local population. TotalEnergies, for its part, must guarantee the safety of its employees and successfully complete a project that is crucial to the African country. To be continued.

ENGIE activates key projects in Belgium, including an 875 MW gas-fired plant in Flémalle and a battery storage system in Vilvoorde, to strengthen electricity supply security and grid flexibility.
Hungary has signed a contract with US company Chevron to import 400mn m³ of LNG per year, while maintaining a structural dependence on Russian gas through a long-term agreement with Gazprom.
Chevron Australia awards Subsea7 a major contract for subsea installation on the Gorgon Stage 3 project, with offshore operations scheduled for 2028 at 1,350 metres depth.
Ovintiv has entered into an agreement with Pembina Pipeline Corporation to secure 0.5 million tonnes per annum of LNG liquefaction capacity over 12 years, strengthening its export outlook to Asian markets.
TotalEnergies has completed the sale of a minority stake in a Malaysian offshore gas block to PTTEP, while retaining its operator role and a majority share.
The European Union will apply its methane emissions rules more flexibly to secure liquefied natural gas supplies from 2027.
Venezuela has ended all energy cooperation with Trinidad and Tobago after the seizure of an oil tanker carrying crude by the United States, accusing the archipelago of participating in the military operation in the Caribbean.
National Fuel has secured $350mn in a private placement of common stock with accredited investors to support the acquisition of CenterPoint’s regulated gas business in Ohio.
GTT appoints François Michel as CEO starting January 5, separating governance roles after strong revenue and profit growth in 2024.
The United States is requesting a derogation from EU methane rules, citing the Union’s energy security needs and the technical limits of its liquefied natural gas export model.
Falcon Oil & Gas and its partner Tamboran have completed stimulation of the SS2-1H horizontal well in the Beetaloo Sub-basin, a key step ahead of initial production tests expected in early 2026.
Gasunie Netherlands and Gasunie Germany have selected six industrial suppliers under a European tender to supply pipelines for future natural gas, hydrogen and CO₂ networks.
The ban on Russian liquefied natural gas requires a legal re-evaluation of LNG contracts, where force majeure, change-in-law and logistical restrictions are now major sources of disputes and contractual repricing.
The US House adopts a reform that weakens state veto power over gas pipeline projects by strengthening the federal role of FERC and accelerating environmental permitting.
Morocco plans to commission its first liquefied natural gas terminal in Nador by 2027, built around a floating unit designed to strengthen national import capacity.
An explosion on December 10 on the Escravos–Lagos pipeline forced NNPC to suspend operations, disrupting a crucial network supplying gas to power stations in southwestern Nigeria.
At an international forum, Turkmenistan hosted several regional leaders to discuss commercial cooperation, with a strong focus on gas and alternative export corridors.
The Australian government has launched the opening of five offshore gas exploration blocks in the Otway Basin, highlighting a clear priority for southeast supply security amid risks of shortages by 2028, despite an ambitious official climate policy.
BlackRock sold 7.1% of Spanish company Naturgy for €1.7bn ($1.99bn) through an accelerated bookbuild managed by JPMorgan, reducing its stake to 11.42%.
The British company begins the initial production phase of Morocco's Tendrara gas field, activating a ten-year contract with Afriquia Gaz amid phased technical investments.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.