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EPC contractor of Mozambique LNG Saipem confirmed to resume work from July

TotalEnergies operated Mozambique LNG project will resume operations from July this year. The liquefaction project had declared force majeure in April 2021, following violence in north of Cabo Delgado province- near the project site.

Saipem, which is a joint venture partner in CCS JV for Mozambique LNG, confirmed that the work will be resumed from July. CEO of Saipem Alessandro Puliti said during the conference call on Saipem results that it expects to gradually restart the Mozambique LNG project as per the information received by their clients. Other CCS JV partners include Chioda Corporation and McDermott. CCS JV has been contracted by Total for Mozambique Area 1 for EPC of the liquefaction project on the Afungi peninsula in Cabo Delgado province, Mozambique.

Patrick Pouyanné, Chairman and CEO of TotalEnergies had visited the Cabo Delgado province of Mozambique late in January to review the security and humanitarian situation. He visited the Afungi industrial site, the resettlement village of Quitunda, the towns of Palma and Mocimboa da Praia and met with President Filipe Nyusi to discuss the security and humanitarian situation in Cabo Delgado province, where the Mozambique LNG project is located.

During this visit, Patrick Pouyanné had entrusted Jean-Christophe Rufin, a recognized expert in humanitarian action and human rights, with an independent mission to assess the humanitarian situation in Cabo Delgado province. This mission was also to evaluate the actions taken by Mozambique LNG and propose any additional actions to be implemented, if required.

Mission was supposed to submit its report to the Mozambique LNG partners by the end of February and following the submission of the report TotalEnergies was to decide on resuming project activities. Reuters quoted TotalEnergies spokesperson saying “it would wait for a human rights assessment commissioned by Rufin before announcing any restart of the project.