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Mozambique Strengthens Oversight of Rovuma Basin LNG Projects

Mozambique Strengthens Oversight of Rovuma Basin LNG Projects
Friday, 06 March 2026 11:09
  • Mozambique forms committee to review Rovuma Basin gas project plans
  • Review covers Golfinho/Atum Area 1 and Rovuma LNG Area 4
  • Rising Mozambique LNG costs prompt reassessment of development plans

Mozambique has established an inter-ministerial committee to oversee amendments to the development plans for the Golfinho/Atum (Area 1) and Rovuma LNG (Area 4) projects. The projects are located in the Rovuma Basin, off the coast of Cabo Delgado province.

The measure was approved during the sixth regular meeting of the Council of Ministers held on March 3.

According to details published on Thursday, March 5, by the Instituto Nacional de Petróleo (INP), the state entity responsible for regulating and supervising the country’s oil and gas activities, the committee will be led by the Minister of Mineral Resources and Energy.

It will include the ministers of hydrocarbons, finance, economy, transport and logistics, labour, and land and environment. Other institutions may be involved depending on the matters under review.

At the operational level, the INP will coordinate the review of proposed amendments to the project development plans, with the support of public bodies such as the Tax Authority and the Bank of Mozambique. The work will focus specifically on the technical, economic and regulatory aspects of the proposals.

The regulator said the initiative aims to strengthen coordination between the government sectors involved in reviewing these strategic projects. It is also intended to ensure an integrated, rapid and efficient approach to examining the technical, economic and legal issues related to the amendment proposals.

According to Mozambican authorities, the coordination mechanism is meant to ensure a rigorous and coordinated evaluation of strategic projects in the natural gas sector while guaranteeing compliance with the applicable legal framework.

The development plans underpinning the Rovuma gas projects

The Golfinho/Atum (Area 1) and Rovuma LNG (Area 4) gas projects are based on development plans submitted in the late 2010s by their operators. In the Area 1 block, which forms the basis of the Mozambique LNG project, the plan was initially presented by the American company Anadarko Petroleum, which has since been acquired by Occidental Petroleum.

The Mozambican government approved the plan in March 2018, clearing the way for the construction of an onshore liquefaction complex intended for the export of liquefied natural gas (LNG). TotalEnergies subsequently acquired Anadarko's stake in the project in 2019 and currently manages its development as operator.

In the neighbouring offshore Area 4 block, the Mozambique Rovuma Venture consortium, controlled by ExxonMobil, Eni and CNPC, submitted the initial development plan for the Rovuma LNG project in 2018. The plan, based on the resources of the Mamba offshore gas complex, also includes onshore liquefaction facilities for LNG exports.

Rising costs prompt adjustments to gas projects

The increase in the cost of the Mozambique LNG project is among the recent factors behind the review of amendments to the development plans for the Rovuma Basin gas projects.

At the time of the final investment decision in 2019, Mozambique LNG was estimated at approximately $20 billion. In October 2025, Reuters reported that TotalEnergies now estimates the total cost of the project has increased by about $4.5 billion. Development was interrupted in April 2021 following armed attacks in the town of Palma, in Cabo Delgado province.

In a context marked by a gradual recovery following the lifting of the force majeure declared in 2021, Agence Ecofin reported in late November 2025 that Maputo granted TotalEnergies a concession extension of about four and a half years for Mozambique LNG.

Abdel-Latif Boureima

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