Mozambique’s ambitious liquefied natural gas (LNG) project, led by French energy giant TotalEnergies, is facing a renewed threat from Islamic State-linked militants who have launched a deadly raid on a nearby town.
The insurgents attacked the town of Mucojo, about 136 kilometers south of the LNG site, on the weekend, killing as many as 25 government troops, according to local media reports. Islamic State claimed responsibility for the assault and published photos of troops it said its militants killed.
The attack was the deadliest on Mozambican forces since 2021 when the militants overran the port town of Mocimboa da Praia, which serves as a logistics hub for the LNG project. The raid also raised security concerns ahead of TotalEnergies’ planned return to resume work on the $20 billion project, which was suspended last year due to the escalating violence in the region.
TotalEnergies, which holds a 26.5% stake in the project, declared force majeure in April 2021, after the militants attacked the town of Palma, killing dozens of people, including several foreigners. The company said it would only restart operations once the government guarantees the security of the area and its workers.
The Mozambican government, with the help of regional and international partners, has been trying to contain the insurgency, which began in 2017 and has killed more than 4,800 people and displaced over 400,000. The Southern African Development Community (SADC) deployed a joint military force in July 2021, while Rwanda also sent 1,000 troops to support Mozambique’s army. The United States, Portugal, and the United Kingdom have also provided training and equipment to Mozambican forces.
The joint efforts have yielded some results, as the government and its allies have recaptured several towns and villages from the militants, including Mocimboa da Praia and Palma. However, the latest attack on Mucojo shows that the insurgents still pose a serious threat to the stability and security of Cabo Delgado province, where the LNG project is located.
The LNG project is seen as a game-changer for Mozambique, one of the poorest countries in the world, as it is expected to generate billions of dollars in revenue and create thousands of jobs. The project aims to exploit the vast natural gas reserves discovered off the coast of northern Mozambique in 2010 and produce up to 12.88 million tonnes of LNG per year in the initial phase. The project has secured long-term contracts with buyers in Asia and Europe, where the demand for cleaner energy is growing.
However, the project has also been marred by delays, cost overruns, and security challenges, as the militants have targeted the LNG site and its surrounding areas. The insurgency has also been fueled by local grievances over poverty, unemployment, and marginalization, as well as religious and ethnic tensions. The militants, who call themselves al-Shabaab, not to be confused with the Somali group of the same name, have pledged allegiance to the Islamic State and seek to establish an Islamic state in the region.
The Mozambican government has vowed to restore peace and stability in Cabo Delgado and protect the LNG project from further attacks. President Filipe Nyusi said in January 2024 that the security situation in the region had improved and that TotalEnergies could resume its activities. However, the company has not yet announced a date for its return and said it was still assessing the security and cost implications of the project’s interruption.
Source: Bloomberg
