TotalEnergies and Partners Increase Equity in Mozambique LNG Project

Wedoany.com Report-Dec.4, TotalEnergies and its partners in the Mozambique LNG project have committed additional equity to cover approximately 10% of the total external financing, replacing funding previously provided by UK Export Finance (UKEF) and the Netherlands' Atradius.

The Mozambique LNG project is set to produce 13mtpa of LNG.

The two agencies, which had pledged $2.2 billion in support, withdrew from the project. In 2020, the $15.4 billion financing package included contributions from export credit agencies and commercial banks. Construction was suspended in April 2021 due to regional security challenges and force majeure was lifted last month.

Following the agencies' decision not to reconfirm support, project partners elected to proceed without their participation. Financing agreements with remaining lenders have been updated to align with the revised timeline, with first LNG production now targeted for 2029 from the 13 million tonnes per annum facility.

TotalEnergies stated: "TotalEnergies regrets that both external advisors did not travel to Mozambique and conduct on-the-ground investigations by themselves but produced a report relying mainly on information collected through third parties."

The company was referring to reports commissioned by the Dutch Ministry of Finance from Clingendael and Pangea Risk that assessed human rights and security conditions in Cabo Delgado province.

In October 2025, TotalEnergies requested approval from the Mozambican Government for a $4.5 billion increase in project costs, reflecting adjustments required after the extended suspension.

The decision to replace the withdrawn funding through partner equity demonstrates continued commitment to advancing the Mozambique LNG project, one of Africa's largest planned liquefied natural gas developments, while adapting to changes in the financing structure.