Mozambique’s state-owned energy company, Empresa Nacional de Hidrocarbonetos (ENH), announced it has exported 135 gas shipments since 2022 from the northern part of the country. This includes 118 shipments of Liquefied Natural Gas (LNG) and 17 of condensates, according to Mónica Juvane, a director at ENH.
The bulk of the exports have gone to British oil giant BP, which signed a long-term agreement in 2016 to buy gas from the Eni-operated Coral Sul FLNG project. The project is the country’s first floating LNG facility.
Despite the rise in export volume, ENH’s financial performance took a hit in 2024. The company’s profits plummeted by more than 50%, falling to 1.737 billion meticais ($27 million). This is a stark contrast to the 3.58 billion meticais ($55 million) profit recorded in 2023, which was driven by a “considerable increase in revenue from natural gas sales.”
Diversifying the Energy Sector
ENH is expanding its domestic gas distribution network. The company plans to install a gas piping system for homes by 2028, a move aimed at boosting the country’s energy transition.
Mozambique’s gas reserves in the Rovuma Basin are among the largest in the world and are projected to be a major source of revenue for the country. Three major projects have been approved to exploit these reserves:
- Coral Sul FLNG (operated by Eni), which is currently in production.
- Mozambique LNG (operated by TotalEnergies) with an estimated annual capacity of up to 43 million tons.
- Rovuma LNG (operated by ExxonMobil), with a projected capacity of 18 million tons per year, is still under development.
A study by consulting firm Deloitte estimated that these reserves could generate $100 billion in revenue, underscoring Mozambique’s increasing significance in the global energy market. This year, the country is projected to be Africa’s sixth-largest gas producer, with an estimated output of 5.4 billion cubic meters.
