The much-anticipated project cargo boom in Mozambique seems to have been delayed yet again.2020 was to be the year that construction would start in earnest after oil majors committed to developing one of the world’s largest remaining unexploited gas fields.In April US major ExxonMobil decided to delay its final investment decision on the Rovuma LNG as part of its drive to cut spending internationally.
The project is still alive, however.Making the announcement about the delay, ExxonMobil said it would continue to actively work with its partners and the government to optimise development plans by improving synergies and exploring opportunities related to the current lower-cost environment.According to analysts the delay was on the cards before the Covid-19 pandemic due to the high costs involved in developing gas facilities in northern Mozambique, coupled with work and travel restrictions imposed by the Mozambican authorities in order to create jobs for locals.
Another major investor is Italian company ENI.At the beginning of June, it announced that it had interrupted drilling and completion for wells for its Coral Sul f loating LNG in the Rovuma Basin.An ENI official confirmed that drilling work on the project had been “rescheduled and optimised” but this was not expected to have an impact on the deadline, with production still on course for 2022.
