Moz project awaits funding

Italian oil firm, Eni, is likely to hear
by the end of this month whether
global banks are willing to finance
a major offshore gas development in
Mozambique.
The company met bankers
in London last month about
project financing to develop Coral
Field, part of the huge reserves
discovered six years ago in the Area
4 concession off the Mozambican
coast.
The funding needed is reportedly
“billions of dollars” but sources
report that some lenders may be
concerned about involvement in a
project in Mozambique, given recent
financial scandals as well as clashes
between opposition guerrillas and
government forces.
The International Monetary Fund
(IMF) was in Mozambique late
September to try to restore trust
between President Filipe Nyusi’s
government and international
lenders after more than US$2 billion
in secret loans came to light this
year.
The IMF has suspended its own
lending to the country, insisting on
external scrutiny as a precursor to
resuming financial aid.
CAPTION
Coral Field is located in the Rovuma
basin offshore of the Mozambican coast.