French energy major TotalEnergies has officially resumed construction of its $20 billion liquefied natural gas (LNG) project in Mozambique, nearly five years after operations were halted due to escalating insecurity in the country’s northeast.
The restart was marked by a ceremony at the Afungi project site in Cabo Delgado province, attended by TotalEnergies Chief Executive Officer Patrick Pouyanné and Mozambique’s President Daniel Chapo.
The LNG development—one of Africa’s largest energy projects—was suspended in 2021 amid intensifying attacks by armed groups linked to ISIL. The conflict, which has claimed over 6,400 lives, forced companies operating in the region to withdraw staff and halt construction.
According to the Mozambican government, the project is expected to produce over 13 million tonnes of LNG annually and begin operations in 2029. President Chapo said the development could generate up to $35 billion in state revenues over its lifetime through taxes, profit shares and other contributions.
Pouyanné said the project would deliver substantial economic benefits, including the creation of up to 7,000 direct jobs during construction, with contracts worth more than $4 billion expected to be awarded to local firms.
Security conditions in Cabo Delgado have reportedly improved following the deployment of Rwandan troops to protect key infrastructure, including the Afungi site. However, prolonged delays have increased project costs, prompting stakeholders to renegotiate contractual terms.
Despite the restart, the project continues to face criticism from environmental and human rights groups, who argue it offers limited benefits to local communities and poses significant climate risks. Advocacy groups have also raised concerns over alleged human rights abuses linked to security operations around the site.
TotalEnergies is currently facing legal actions in France, including a manslaughter investigation and complaints alleging complicity in serious human rights violations. The company has strongly denied all allegations, maintaining that it has acted responsibly and within the law.