TotalEnergies formally lifted force majeure on the $20.5bn Mozambique LNG Area 1 project on 7 November 2025 and announced the full restart of all onshore and offshore construction activities at the Afungi site on 29 January 2026 alongside Mozambique President Daniel Chapo. As of TotalEnergies’ Q2 2026 earnings update, the project is approximately 45% complete with 7,000–8,000 workers on site. First LNG production from Trains 1 and 2 (13.1 MTPA combined) is targeted for 2029. The revised budget is approximately $20.5bn, including roughly $4.5bn in incremental costs incurred during the force majeure period.
Project Details
Key Issues / Risks
Security in Cabo Delgado remains the single largest risk — the restart depends on continued Rwandan and SADC security presence in the region. TotalEnergies also requested a 10-year production concession extension to compensate for the five-year suspension. The revised $20.5bn budget includes ~$4.5bn in incremental force-majeure costs, raising financing pressure. Train 3-4 expansion has not been sanctioned.
Latest Development (Detail)
As of TotalEnergies' Q2 2026 earnings call (July 2026): 45% complete, 7,000–8,000 workers on site, on track for 2029 first LNG. CEO Pouyanné stated: 'When we compare to the progress curve, we are almost at 45% of completion.' Local contracts worth more than $4bn are expected to be awarded to Mozambican companies over the construction period, with up to 7,000 Mozambican jobs at peak.
What Happens Next
Continued ramp-up of workforce toward peak 7,000 Mozambican workers; Train 1 mechanical completion milestones expected before year-end 2026. Watch for any update on Train 3-4 expansion sanctioning.
Commercial Opportunity
One of the largest procurement programmes ever run on the African continent — civil works, LNG equipment, marine logistics, camp services, catering and environmental services. $4bn-plus in local procurement targeted over the construction period.