Representing the first onshore development of a liquefied natural gas (LNG) plant in the country, the Mozambique LNG project is fully integrated into our strategy to strengthen our position in LNG. As operator, Total is currently deploying the best of our human, technical and financial expertise to implement this project, in the interest of all stakeholders, and thus contribute to the economic development of Mozambique.
Operating a vast LNG project in Northern Mozambique
Following the discovery of important quantities of natural gas in the Rovuma Basin off the coast of Northern Mozambique in 2010 and a $20 billion final investment decision in June 2019, the Total-led Mozambique LNG project is moving forward at pace.
Approximately 65 trillion cubic feet (the equivalent of 12 billion barrel oil field) of recoverable natural gas were discovered in Offshore Area 1. The results of the drill stem testing (DST) program in the Prosperidade and Golfinho/Atum complexes demonstrate the outstanding flow characteristics of the reservoirs. Each flow test successfully flowed at facility-constrained rates of 90 to 100 million cubic feet per day (MMcf/d), which supports well designs of 100 to 200 MMcf/d. initial plans are for a two-train project with scope to expand up to 43 million tonnes per annum (Mtpa).
Mozambique’s geographic location means the country is well-positioned to meet the needs of customers in the Atlantic and Asia-Pacific markets, and to tap into the growing demand for energy in the Middle East and Indian sub-continent. As the world’s second largest LNG player and the leading energy player in Africa, Total is uniquely positioned to deliver a project which represents an extraordinary opportunity to meet increasing world demand for a sustainable, reliable and cleaner source of energy.
creating opportunities for Mozambican business and local workforce
In partnership with the Government of Mozambique, our focus is to increase the competitiveness of local companies to maximize opportunities for local participation.
Over the five-year construction period (beginning August 2019), the project has a goal of awarding $2.5 billion in contracts to Mozambican owned or registered companies. This represents more than one third of our total onshore contract, with the bulk of the rest being spent on highly specialized, technical goods and services that cannot currently be sourced in Mozambique.
Total’s teams are currently:
- Working with major contractors to disseminate details of contracting opportunities with the project so that local businesses have the information they need to bid;
- Conducting dedicated workshops in areas we know are holding local businesses back;
- Supporting the certification of local businesses ensuring they meet the standards the project requires – the first 40 businesses commenced training in August 2019;
- Looking at several broader capacity building initiatives.
A project of this scale also presents a significant opportunity for the training and development of the local workforce. 37% of the local employees are coming from the Palma district. The 5,500-strong Mozambican construction workforce has already delivered the new Quitunda Village, the Afungi airstrip, the Palma-Afungi highway and a raft of other projects essential for the construction of the LNG facility.
Beyond construction, the Mozambique LNG project will support local positions in many areas, including community development, procurement, engineering, law, finance, geoscience, health and environment, human resources, information technology, logistics and maintenance.