After years of uncertainty, French energy company TotalEnergies has officially restarted its $20 billion liquefied natural gas (LNG) project in Mozambique, bringing fresh momentum to one of Africa’s biggest energy investments.
The announcement was made on Thursday by TotalEnergies Chief Executive Patrick Pouyanne at an event attended by President Daniel Chapo, signalling the end of a five-year pause caused by security concerns in the country’s north.
“I am happy to announce the full restart of the Mozambique LNG project. The force majeure is now over,” Pouyanne said.
Project halted by deadly attack
Work on the gas project, located in Cabo Delgado province near the border with Tanzania, was suspended in 2021 after a major jihadist attack that left around 800 people dead. The violence forced companies to withdraw staff and halt construction, dealing a heavy blow to Mozambique’s economy.
Although TotalEnergies lifted the force majeure declaration in October, the latest announcement confirms that full-scale activities have now resumed. The company is also seeking $4.5 billion in compensation from the Mozambican government to cover additional costs caused by the delay.
Hope for economic revival
Mozambique’s government has welcomed the restart, describing it as a major boost for the country’s economy and international image.
In a statement, President Chapo’s office said the project’s return shows renewed confidence by global investors in Mozambique’s energy sector and long-term potential.
Once completed, the project is expected to create thousands of jobs, boost government revenue and help transform Mozambique into a major global exporter of liquefied natural gas. It is considered the largest private energy investment in Africa.
Critics remain sceptical
Despite its scale, the project continues to attract criticism from environmental groups, who argue that it could worsen climate change while offering limited benefits to ordinary Mozambicans.
This concern is amplified by poverty levels in the country. According to the World Bank, more than 80 per cent of Mozambicans lived on less than $3 a day in 2022, raising doubts about how widely the project’s benefits will be felt.
Security still a concern
Although northern Mozambique has not experienced another attack on the scale of 2021, insecurity remains an issue. Jihadist groups continue to carry out sporadic attacks on civilians and security forces.
Conflict monitoring organisation ACLED estimates that the insurgency in the region has claimed over 6,200 lives since 2017, highlighting the fragile security environment surrounding the gas-rich area.
Still, TotalEnergies’ decision to restart the project reflects growing confidence that stability can be maintained and that Mozambique’s vast gas resources can play a key role in meeting global energy demand.
