By: Energy capital & power

The U.S. Export-Import Bank (EXIM) has re-approved a $4.7 billion loan for TotalEnergies’ Mozambique LNG project, one of the largest natural gas ventures on the continent.

Initially approved in 2019, the financing was delayed due to security concerns in Mozambique’s Cabo Delgado province, which forced TotalEnergies to halt development. However, with improved security and agreements with local stakeholders, the project is now set to move forward, Reuters reports.

In addition to the loan, EXIM’s involvement ensures U.S. contractors will have a substantial role in the project, in line with the bank’s policy of promoting U.S. exports and supporting international ventures.

With a planned capacity of 12.88 million tons of LNG annually, the Mozambique LNG project represents a significant step toward meeting global energy demands and boosting Mozambique’s economy. With the financing secured, TotalEnergies and its partners can now proceed with the next phase of construction, solidifying Mozambique’s position as a key player in the global LNG market.