On April 26, Total declared force majeure on its $20 billion LNG project in Mozambique, withdrawing all personnel from the site, after an increase of Islamic State-linked attacks.
In fact, as Reuters reports, dozens of civilians were killed in March in Palma, near gas projects worth $60 billion.
The attacks have significantly affected plans by Total and Exxon Mobil to make Mozambique a major LNG producer to Australia, Qatar, Russia and the United States.
With this rise in security risk, maritime activities should be vigilant, as these risks could tranfer from the shore to sea, in the form of piracy.
This would increase the risk in the Southern African region, as well as the Mozambique Channel, from where 30% of the world’s tanker traffic passes.
The force majeure also comes at a time where Total reassesses its approach to LNG. As Total stated, considering the evolution of the security situation it decided the withdrawal of all Mozambique LNG project personnel from the Afungi site.
What is more, a Total spokeswoman mentioned that force majeure was the only way to best protect the project interest until work can resume.
The LNG project includes development of the Golfinho and Atum natural gas fields in the Offshore Area 1 concession and the construction of a two-train liquefaction plant with capacity of 13.12 million tonnes per annum (mtpa).
Total expresses its solidarity with the government and people of Mozambique and wishes that the actions carried out by the government of Mozambique and its regional and international partners will enable the restoration of security and stability in Cabo Delgado province in a sustained manner
Total concluded.
