There is renewed optimism surrounding TotalEnergies’ massive project in Mozambique. Suspended in 2021 after attacks by the Islamic State-affiliated jihadist group Mashababos (al-Shabaab) in Cabo Delgado province in northern Mozambique, the LNG project – worth $20bn – is now expected to get underway soon.
“The aim is to restart [the project] by mid-2025,” said Patrick Pouyanné, CEO of TotalEnergies, during the group’s first-quarter results presentation on 30 April.
“The shareholders have decided to proceed, and we’re all working towards this. We are waiting for one or two final approvals, but these are essentially formalities,” Pouyanné said. He emphasised the consortium’s commitment by adding that they would fund the project themselves if export credit agencies were reluctant.
Essential funding approved
TotalEnergies holds a 26.5% stake in the project consortium, alongside India’s ONGC Videsh (16%), Bharat Petroleum (10%), Oil India Ltd (4%), Thailand’s PTTEP (8.5%), Mozambique’s state-owned ENH (15%), and Japan’s Mitsui (20%).
After initially agreeing to finance the project, the US Export-Import Bank under former President Joe Biden vetoed a $5bn loan. In late 2024, Pouyanné attempted to secure the $5bn before Donald Trump’s inauguration. This essential funding was finally approved in March.
Regarding security in northern Mozambique, Pouyanné remains optimistic: “The area is secure. We are working to ensure all workers remain within the perimeter of this secured zone.”
Although Rwanda and the Southern African Development Community (SADC) continue joint military operations against terrorism, the region remains volatile. France’s foreign ministry still strongly advises against travel to Cabo Delgado and parts of neighbouring Niassa province.
Human rights controversy
According to a late-2024 investigation by French newspaper Le Monde, TotalEnergies allegedly knew since 2021 about abuses against civilians by Mozambican soldiers of the Joint Task Force assigned to guard its site. Multiple reports indicate villagers were kidnapped, tortured and even killed, often for coming too close to the project area.
Internal documents obtained by the newspaper suggest the multinational was aware of these abuses but remained silent, continuing payments to these troops until the contract ended in October 2023.
Addressing this controversy during the quarterly presentation, Pouyanné stated: “We have addressed certain human rights controversies. I don’t know if these incidents occurred or not – we have no proof.” In late March, TotalEnergies welcomed an investigation by Mozambique’s attorney general, pledging full cooperation from its subsidiary, Mozambique LNG.
The company has also committed to publishing a report assessed by Mozambique’s National Human Rights Commission. When asked about the commission’s independence, Pouyanné responded: “Let justice do its work, and let’s accept the outcomes.”