Mozambique Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in mozambique, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Oil & Gas
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Over the next decade, Mozambique is poised to emerge as a significant exporter of liquefied natural gas (LNG), following the discovery of over 160 trillion cubic feet (TCF) of natural gas reserves in the Rovuma Basin, located in the northern region of the country. These discoveries span two key concessions: AREA 1, spearheaded by TotalEnergies, and AREA 4, jointly led by Eni and ExxonMobil.

The Mozambique LNG project in Area 1, led by TotalEnergies, reached its final investment decision (FID) in 2019, with an investment valuation surpassing $20 billion. However, progress on this LNG facility has been impeded by security challenges, prompting TotalEnergies to declare force majeure in April 2021. In October 2025, TotalEnergies lifted force majeure pending the signing of an amended Plan of Development (POD). 

The project will proceed under the construction guidance of a joint venture led by engineering-procurement-construction (EPC) contractors Saipem and McDermott, featuring dedicated airstrip and port facilities located within the Afungi LNG Park. The project is aiming to deliver LNG to Asian and European markets, with over 400 million cubic feet reserved for domestic applications. Additionally, the U.S. Export-Import Bank has approved a $4.7 billion loan for the project, securing over 16,000 jobs in the United States.

Area 4, the second concession, features Eni at the helm of offshore operations and ExxonMobil leading the onshore LNG development. Plans for the onshore Rovuma LNG project, with an anticipated FID in early 2026, has an estimated costs of $30 billion. The project is currently in the Front-End Engineering & Design (FEED) phase. U.S. government support for ExxonMobil’s Area 4 Rovuma LNG project is under review by the EXIM Bank and Development Finance Corporation (DFC). Eni operates the offshore Coral Sul Floating LNG (FLNG) production facility, which has been exporting LNG since November 2022.  In October 2025, Eni announced the Final Investment Decision to develop a second FLNG vessel, Coral Norte, which is due to be operational by 2028. ExxonMobil lifted force majeure in late November, further signaling increased momentum in the LNG sector.

In addition, Mozambique hosts gas production managed by Sasol (South Africa) in the Pande and Temane gas fields in Inhambane Province, which contain reserves of 2.6 TCF. This natural gas is processed at a central facility in Temane and exported through an 865 km pipeline to South Africa, with a link catering to southern Mozambique’s domestic market. Sasol is also advancing an integrated oil and liquefied petroleum gas (LPG) project adjacent to its existing petroleum facility, valued at over $700 million. This project, entailing 13 wells and an LPG production facility, is projected to cost $1.4 billion.

Exploration concessions are allocated by the National Petroleum Institute (Instituto Nacional de Petróleo; INP) via public tenders. Upon discovering petroleum reserves, production contracts are negotiated. INP has signed contracts for exploration and production in offshore blocks in the Angoche and Zambezi Basins, as well as onshore blocks in the Mozambique Basin, with consortiums led by ExxonMobil, Sasol, ENI, and Buzi. As of July 2023, only Eni has commenced exploration in these blocks.

The state-owned Empresa Nacional de Hidrocarbonetos (ENH) represents the Mozambican government in all petroleum operations. Legislation mandates ENH’s participation as a stakeholder in both production and exploration activities. ENH is also involved in national flagship projects such as the oil and gas terminal expansion at the Port of Pemba, providing services like campsite management, offshore logistics, and port facilities in partnership with specialized private sector firms. In collaboration with Korean gas company Kogas, ENH also operates a gas distribution network servicing households and industries in southern Mozambique.
Mozambique’s 2014 Petroleum Law mandates that 25 percent of the natural gas produced be made available to meet domestic market needs.  

The government has outlined power generation and fertilizer production as strategic priorities for this domestic gas. The Government of Mozambique is actively drafting a new petroleum law with the objective to modernize the sector in the country.

Leading Sub-sectors

•    Engineering and steel structure fabrication services
•    Oil & gas machinery and services
•    Oil & gas parts and equipment
•    Safety and security equipment and services

Opportunities

For the next five years, opportunities for U.S. equipment suppliers are expected to be driven by the construction of TotalEnergies’ LNG plant, Eni’s second FLNG plant, and ExxonMobil’s LNG plant. The LNG development plan includes two 180,000 cubic meter LNG storage tanks, condensate storage, a multi-berth marine jetty, and associated utilities and infrastructure. ExxonMobil’s development plan includes the construction of two liquefied natural gas trains, which will each have the capacity to produce 7.6 million tons of LNG per year and related facilities. All of these projects have an onshore base in Afungi Park, hosting all the supporting infrastructure including accommodation facilities, port and airport infrastructure, as well as specialized tax and work visa regimes.

Companies should also track potential domestic gas project tenders from the Mozambican Government, which could be major opportunities for midstream and downstream project developers.

Trade shows

•  Mozambique Mining and Energy Conference | May 6-7, 2026, Maputo, Mozambique
•  Mozambique Gas & Energy Summit | September 1-3, 2026, Maputo, Mozambique
•  Gastech Exhibition & Conference |   September 15-18, 2026, Bangkok, Thailand

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