Total declares force majeure on Mozambique LNG project, withdraws staff after insurgency
French energy company Total has declared force majeure on its Liquefied Natural Gas (LNG) project in Mozambique.
In a statement, Total said the decision was made following ‘consideration of the evolution of the security situation in the north of the Cabo Delgado province in Mozambique’.
“Total expresses its solidarity with the government and people of Mozambique, and wishes that the actions carried out by the government of Mozambique and its regional and international partners will enable the restoration of security and stability, in Cabo Delgado province in a sustained manner,” reads the statement.
According to a CGTN report, Total and its partners planned to invest Ksh.2.1 trillion ($20 billion) in the project, the largest amount ever for a project in Africa.
In February, Total chief executive Patrick Pouyanne insisted that the project, which it inherited from the US energy firm Anadarko, was still on track to begin operations in 2024.
The decision to initiate a force majeure comes almost a month the company suspended its gas operations in northern Mozambique following an alleged brazen jihadist attack which left several people dead.
“The remobilization of the project that was envisaged at the beginning of the week is of course now suspended,” it said in a statement.
Militants have seized control of the town of Palma in the northern province of Cabo Delgado following raid launched on March 24.
After the attack, the news agency reported that nearly 200 people including foreign gas workers had to be evacuated overnight from a hotel where they had sought refuge.
At least seven people were killed in the violence, according to local media