The African Energy Chamber (AEC) is urging for peace and stability in Mozambique as plans are being made to restart the delayed $20 billion Mozambique LNG project. This project is expected to produce 13.1 million tonnes of LNG per year for domestic use, highlighting the importance of a peaceful environment for successful energy growth in the country.
Following the 2024 general elections in Mozambique, protests have erupted into violence, causing unrest and instability in the nation. The AEC, as the voice of Africa’s energy sector and a supporter of Mozambique’s prosperity, is advocating for peace, stability, and sustainable development as the country embarks on a new era of energy expansion.
Since the discovery of significant natural gas reserves off Mozambique’s coast in 2010, the country has been positioned for economic growth. With expectations of $500 billion in total revenues by 2045 and average annual real GDP growth of 24% from LNG exports, Mozambique has the potential to become a major player in the global energy market. Major energy companies like TotalEnergies, ExxonMobil, and Eni are investing in integrated LNG projects, while new players are entering the market and gas-to-power projects are nearing completion.
Projects such as the Coral Sul LNG facility, the Rovuma LNG project, and the Temane gas-to-power plant have the capacity to attract significant investments and provide stable energy to millions of homes by 2030. Mozambique is on track to become one of the top gas producers in Africa, potentially accounting for up to 20% of the continent’s production by 2040.
Geopolitically, Mozambique’s industrialization efforts could benefit the Southern African region by transforming the country into an energy hub for neighboring countries. Additionally, Mozambique’s extensive coastline along the Indian Ocean positions it as a gateway for international trade, allowing for efficient energy production and access to global markets.
However, to fully realize its potential, Mozambique must prioritize political stability and sustainable development. A peaceful and stable environment is crucial for building long-term partnerships with the international community and ensuring that the benefits of natural resource development are shared equitably. The country’s journey to becoming a leading energy producer is dependent on promoting unity, security, and democratic principles.
NJ Ayuk, Executive Chairman of the AEC, emphasizes the importance of peace and stability for Mozambique to unlock its economic potential and emerge as a global energy hub. The government and opposition must work together to ensure post-colonial and post-conflict stability for the country’s prosperity and development.
In conclusion, the AEC calls for a commitment to peace and stability in Mozambique to drive sustainable growth and prosperity for the nation and the Southern African region as a whole. By prioritizing unity and security, Mozambique can solidify its position as a key player in Africa’s energy future and a trusted partner in the global energy community.
