• Eni to approve $7.2B Coral Norte gas project in Mozambique
• Project targets 2028 output, adds 3.55M tons annual LNG capacity
• Financing, regional instability remain key development challenges

Italian multinational Eni is expected to take the Final Investment Decision (FID) for its Coral Norte gas project in Mozambique on Thursday, October 2, after months of anticipation, according to media reports citing sources close to the stakeholders.

The official signing ceremony with the government is scheduled to take place in Maputo, with Eni CEO Claudio Descalzi and Mozambican President Daniel Chapo reportedly set to attend.

Eni operates the project alongside partners including ExxonMobil, China National Petroleum Corporation (CNPC), Galp Energia, Kogas, and Empresa Nacional de Hidrocarbonetos (ENH).

The $7.2 billion Coral Norte project is a continuation of the Coral South development, which has been in production since 2022. It involves drilling six subsea wells that will be tied back to a floating liquefied natural gas (FLNG) unit. Its estimated annual capacity is 3.55 million metric tons of LNG, equating to approximately 5.2 billion cubic meters of gas over thirty years.

The project aims to begin production in 2028. It has already secured several milestones, including approval from the Mozambican government in April and the preparation of essential implementation contracts.

Like rivals such as Shell, Eni is betting on sustained demand growth for LNG, driven by energy diversification priorities in Asia and Europe. Coral Norte is part of this trend, solidifying Eni's position in Mozambique, which is being touted as one of the continent’s future gas hubs.

However, the realization of the Coral Norte development still depends on securing international financing. Although the project is located offshore and theoretically less exposed, it operates amid instability in the Cabo Delgado region and faces environmental scrutiny.

Abdel-Latif Boureima