Mozambique needs a new solution for its domestic gas allocation, after Shell and Yara abandoned their plans for gas-to-liquids and fertilizer projects

Tanzania's president has moved to revive the country's mothballed LNG projects and says she wants new discoveries to overtake Mozambique's reserves

The commercialization of natural gas reserves in Mozambique and Tanzania will remain central to public safety, national security, and political power in both countries in coming years

Oil companies that have previously expressed interest in the new round include TotalEnergies, ExxonMobil, Eni, Sasol, Shell, BP and China’s CNOOC

Tanzania plans to start construction of its 10mtpa LNG project in 2023 and start LNG exports in 2028. As the rising insecurity in Cabo Delgado throws both the timing and volume of Mozambique gas exports into doubt, is the Tanzanian government planning to step up to fill the gap? Or have both countries already missed the market?

The French energy multinational TotalEnergies has declared force majeure on more contracts at its $20bn-plus liquefied natural gas (LNG) project in Cabo Delgado province, in the wake of ongoing terrorist activity near the project’s construction site, two sources have told Zitamar News

A new government study into how Mozambique will use its domestic gas allocation has already been overtaken by events, as Yara and Shell have both cancelled major projects to use the gas in Cabo Delgado

Norwegian fertiliser giant Yara International has abandoned plans to develop a fertiliser plant in Cabo Delgado — raising questions over the viability of the other domestic gas projects that the government hoped would drive economic development in the troubled province

Minister Max Tonela said the government must first improve regulations to allow “a better optimization or maximization of these resources for Mozambique” before launching the next oil and gas block round

Norway's Yara has told Mozambique its plans for a fertiliser plant are not viable at the gas price currently on offer