The newly constituted Board of Directors of the US Export-Import Bank has approved the direct loan of up to USD 4.7 billion to support engineering, procurement and construction for the Mozambique LNG project in Mozambique’s Cabo Delgado province, the bank announced on Wednesday.
The loan had been paused following the declaration of force majeure on the project in 2021 due to violent unrest in Cabo Delgado. The amended form of the loan approved by the US Exim board extends certain dates and makes related changes in connection with the restart of the project but contains no material changes and is thus not subject to additional US Congressional notification.
“I am pleased that in authorising this amendment the bank finally fulfils the commitment made nearly six years ago to the Mozambique LNG project, which is important to thousands of US employees working for US manufacturing and services companies,” said US Exim Bank’s acting president and chairman Jim Cruse.
TotalEnergies, the operator of the project, had indicated earlier this year it expected the loan would be green-lighted, and it is also expecting the resolution of a commitment of up to USD 1 billion from the UK.
For more about the Mozambique LNG project, read our interview with Maxime Rabilloud, Managing Director of TotalEnergies E&P Mozambique Area 1.
Source: theenergyyear.com