Oil & Gas

Mozambique's significant gas reserves have garnered attention from leading global oil and energy companies, setting the stage for the country to emerge as a major player in energy markets as many nations seek new energy sources. This influx of investment underscores Mozambique's potential to significantly influence the global energy landscape.

Over the next decade, Mozambique is poised to become a major exporter of liquefied natural gas (LNG). The discovery of over 180 trillion cubic feet of natural gas in the northern Rufuma basin has attracted major international companies, positioning the country as a key player in the LNG market. This substantial reserve promises to transform Mozambique’s economy through substantial foreign investment and export revenue.

The exploration and development of Mozambique's gas resources are divided into two major concessions. One concession is spearheaded by France's Total Energy, while the other is jointly managed by Italy's Eni and U.S. ExxonMobil. These companies are at the forefront of developing the country's gas infrastructure, driving Mozambique's ascent in the global energy sector.

According to a report from the Washington-based Specialized Energy Platform, Mozambique's economic outlook has significantly improved following the 2010 discovery of large natural gas reserves off its northern coast. The International Monetary Fund (IMF) predicts that Mozambique could generate $500 billion in total revenues by 2045, with a real GDP growth rate of 24 percent from liquefied gas exports between 2021 and 2025.

The development of Mozambique's gas projects continues to attract major energy companies. Total Energy, ExxonMobil, and Eni are leading significant LNG projects, with new exploration companies entering the market as well. Additionally, China National Offshore Oil Corporation (CNOOC) recently acquired five offshore blocks in partnership with Mozambique's Ministry of Mineral Resources and Energy and the state-owned Empresa Nacional de Hydrocarbonitos (ENH). Similarly, the state-owned Abu Dhabi National Oil Company (ADNOC) has secured a 10% stake in Mozambique's Fourth Zone concession in the Rovuma Basin, further cementing Mozambique's role as a burgeoning energy hub.