TotalEnergies gets $5 billion loan for gas project in Mozambique approved

The US Export-Import Bank has given the green light for a $5 billion loan on a liquefied natural gas (LNG) project in Mozambique being developed by French TotalEnergies. The initial financing of $4.7 billion was approved during the first administration of Donald Trump. Nonetheless, it had to be re-validated after the construction was halted in 2021 due to public unrest in Cabo Delgado.

TotalEnergies CEO Patrick Pouyanne is seeking support from other groups, like the British and Dutch export credit agencies. The company is waiting for its loan to be reapproved before it can resume work on the project.

TotalEnergies holds a 26.5% stake in the Mozambique gas field. This project is likely to make the southern African country a major LNG producer. Due to a better security environment, Mitsui, one of the partners, revealed its plans to resume construction after holding extensive discussions with contractors.