Italian energy giant Eni is considering deploying a third floating liquefied natural gas (FLNG) platform offshore Mozambique as it seeks to expand production from one of the world’s largest untapped gas reserves, a company spokesperson said on Tuesday.
The potential project would further strengthen Mozambique’s ambitions to become a major global LNG exporter, building on a series of developments in the gas-rich Rovuma Basin near the Tanzanian border.
“In this context, Eni is currently assessing the possibility of advancing with a third project based on the FLNG technology,” the spokesperson told Reuters, confirming an earlier report by Portuguese news agency Lusa.
The company did not provide further details on the scale or timeline of the proposed facility.
Eni already operates the Coral South FLNG platform offshore Mozambique and took a final investment decision in October last year on a second floating facility, Coral North.
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Once operational in 2028, Coral North is expected to double Mozambique’s LNG production capacity to more than 7 million metric tons per annum.
The Rovuma Basin is estimated to hold between 160 trillion and 200 trillion cubic feet of natural gas, according to the U.S. Energy Information Administration, making it one of the world’s most significant gas discoveries in recent decades.
The basin has attracted several global energy companies eager to tap growing international demand for liquefied natural gas, particularly as countries seek alternatives to Russian energy supplies and cleaner-burning fuels compared with coal.
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French energy major TotalEnergies and U.S. oil giant Exxon Mobil are also developing large onshore LNG projects linked to gas fields in the basin.
However, progress on some projects has been slowed by security concerns in northern Mozambique, where an Islamist insurgency has destabilised parts of Cabo Delgado province since 2017.
TotalEnergies suspended work on its multi-billion-dollar LNG development in 2021 following attacks near the project site, although the company has since signalled plans to gradually resume operations as security conditions improve.
Eni’s floating LNG projects have largely avoided some of the security and logistical challenges facing onshore developments because the facilities are located offshore and can process and export gas directly at sea.
The expansion of Mozambique’s LNG sector is expected to play a crucial role in boosting foreign investment, government revenues and economic growth in the southern African nation over the coming decades.
