Mozambique's LNG Investment Landscape in 2026

Summary

Mozambique is entering the most significant phase of LNG development since the discovery of the Rovuma Basin. Following the January 2026 full restart of TotalEnergies' 13.1 mtpa Mozambique LNG (Area 1) project, the October 2025 final investment decision (FID) on Eni's $7.2bn Coral Norte FLNG, and ExxonMobil's move toward a targeted FID on the 18 mtpa Rovuma LNG project by the second half of 2026, the Rovuma Basin is transitioning from a stalled resource commercialisation story to an active, multi-train construction pipeline. Combined, these projects underpin resource access to approximately 150 tcf of discovered gas offshore Cabo Delgado, among the largest undeveloped gas endowments outside the Middle East.
Upstream investment momentum has been driven by a materially improved, though not fully resolved, security environment in Cabo Delgado, where a multinational stabilisation effort involving Rwandan and SADC forces has allowed operators to re-enter Afungi and resume onshore works after the 2021 force-majeure shock. Eni's Coral South FLNG continues to demonstrate strong operating performance, validating the floating-LNG model that Coral Norte will replicate from 2028, while TotalEnergies now targets first LNG from Area 1 in 2029 at a revised capital envelope above $20bn.
The country's LNG strategy is characterised by a diversified development model that combines floating liquefaction technology with large-scale onshore export facilities. This phased approach reduces project execution risk while enabling operators to monetise offshore gas resources more efficiently. Coral South FLNG has demonstrated the commercial viability of floating LNG production in the Rovuma Basin, providing valuable operational experience that is expected to support the development of Coral Norte and future offshore projects. At the same time, the planned Mozambique LNG and Rovuma LNG projects are designed to establish Mozambique as a globally competitive supplier of long-term LNG volumes through large-capacity onshore liquefaction facilities.