CAPE TOWN, Nov 24 (Reuters) - Mozambique has granted its
top state-owned companies, including national oil firm ENH, a
30-year concession to build and operate natural gas facilities
at the Port of Beira and the smaller Inhassoro site, the
government said on Monday.
Efforts by the Southern African country to develop its oil
and gas reserves have been hampered by an ongoing
Islamist-linked insurgency in the north of the country that has
delayed TotalEnergies' LNG plant, despite some improvements in
security.
The concession will be managed through a special-purpose
vehicle formed by ENH, ports and railways company CFM,
electricity company EDM and Cahora Bassa Hydroelectric (HCB),
alongside technical and financial partners selected by
government.
The exclusive deal covers a liquefied natural gas terminal,
storage facilities and the 865-kilometre (537.5 mile) Rompco
pipeline linking Mozambique's gas fields to South Africa. Rompco
is a public-private partnership between the Mozambican and South
African governments, each holding 40%, and Sasol, which
holds the remaining 20%.
"The project is based on a floating storage and
regasification unit (FSRU) anchored in Beira and Inhambane and
connected to the pipeline," the National Petroleum Regulator
(INP) said on its website.
The government approved the concession last week as efforts
by TotalEnergies and Exxon Mobil ( XOM ) push ahead
with their own LNG projects.
The new infrastructure aims to support the transportation of
LNG from different projects in the Rovuma Basin, where
TotalEnergies and Exxon Mobil ( XOM ) are active, while also boosting
industrialisation by ensuring that a share of gas enters the
domestic market, INP said.
"This is the logistical backbone that was missing to
transform the potential of Rovuma gas into real value for the
country," said a Sasol spokesperson.