Mozambique is set to make the first Liquefied Natural Gas export to Europe next month, withe BP’s LNG tanker, British Sponsor, having already arrived offshore northern Mozambique.
Mozambique expects to ship this liquefied natural gas exports to Europe from the Eni-operated Coral Sul floating plant, from the Rovuma basin, off Cabo Delgado province.
While the country is set to make its own history by the new direction in exports, it will also help, to some extent, alleviate energy crisis that has arisen due to Russia-Ukraine crisis (Russia’s decision to curb gas pipeline supplies into major European Union economies).
The Coral South project is expected to produce 3.4 million tons of LNG per year over its estimated 25-year span, with all this gas contracted to BP for 20 years on a free-on-board basis.
According to estimates, the initial production could contribute an additional 1.1 percentage points to the country’s economic growth in 2023.