TOTALEnergies Denies Contract Suspension Claims in Mozambique LNG Project
TOTALEnergies has denied claims of suspending contracts with subcontractors at its LNG project in Mozambique. The company stated it is only not renewing expired contracts due to the ongoing force majeure situation. Improvements in security conditions and the anticipation of funding are key points of focus as preparations for future project activities continue.
TOTALEnergies has officially refuted claims of suspending contracts with subcontractors at its Liquefied Natural Gas site in Mozambique, clarifying that it is merely not renewing contracts that have already lapsed. Maxime Rabilloud, the company’s country manager in Mozambique, emphasized the current situation of force majeure, indicating that while project restart is not imminent, the company is focused on preservation work and preparing for future activities.
During a press conference held after a meeting with Cabo Delgado’s governor, Valige Tauabo, Rabilloud sought to clarify misconceptions regarding contracts associated with subcontracted workers in Palma. He elaborated that there are specific operations with defined timelines, leading to periods of demobilization once work concludes, followed by subsequent projects.
TOTALEnergies initiated work on the major 13 million tonnes per annum LNG project in late 2019. However, operations were halted in April 2021 due to violent insurgent attacks in nearby areas that resulted in numerous deaths. Since then, the company has noted improvements in the security landscape and is awaiting re-approval of loans from the U.S. Export-Import Bank, which finances a substantial portion of the project’s costs.
In January 2025, TOTALEnergies announced the replacement of Stéphane Le Galles, the previous project manager, with Nicolas Cambefort from Paris, marking a new chapter in the project management of the Mozambique LNG endeavor.
TOTALEnergies has clarified that it is not suspending contracts with subcontractors at its LNG site in Mozambique but is instead allowing expired contracts to conclude without renewal. The company emphasizes its commitment to preparing for future project resumption despite the challenges posed by a force majeure situation. As security conditions improve, the company awaits crucial funding to push forward with the significant LNG project.
Original Source: africaoilgasreport.com
