The outlook for projects in Mozambique is upbeat as the oil and gas sector continues to dominate the landscape, showing signs of renewed activity despite recent challenges. While the sector experienced a slowdown during the Covid-19 pandemic and subsequent insurgent attacks in the north of the country, momentum is gradually picking up.“The oil and gas sector remains a major focus, with several key developments on our radar,” said a local logistics insider. “The country is buzzing with activity, from upgrades and renovations of existing facilities to entirely new ventures such as the new LNG plant in Temane. Notably, the significant LNG gas project by Total in Pemba, which faced a force majeure declaration in 2021, is expected to restart in 2025.”In addition to the LNG developments, Mozambique is witnessing the launch of several other projects, including a new solar project in the north, a wind farm and several other power projects. There is also extensive exploration and drilling occurring at various sites. Most experts to whom Freight News spoke agreed that the momentum was returning quickly as many of the security concerns had been addressed. Companies are again actively engaged in contract negotiations and tenders, particularly in the north of the country.However, there are challenges. Road infrastructure is a significant concern. The country has experienced three consecutive rainy seasons, with minimal investment in road and bridge infrastructure. This poses a challenge for the project sector, as cargo is often heavy and oversized. The risk of bridge collapses remains a worry.“Many bridges in Mozambique need to be reinforced before heavy project cargo can be transported, leading to increased costs and delays,” said one insider, indicating that another worry was bottlenecks and congestion should cargo volumes pick up significantly. LV
