India’s state-run Oil India Ltd said it anticipates that development of the 20 billion dollar Mozambique liquefied natural gas project, operated by TotalEnergies, will restart before the end of this year.
The company’s chairman, Ranjit Rath, made the announcement on Thursday during its annual shareholder meeting, Reuters reported.
Construction at the project had been suspended in 2021 after a deadly attack by Islamic State-linked insurgents prompted TotalEnergies to declare force majeure.
“With improved security conditions, the project is expected to restart in the second half of 2025 and is well-positioned to meet the growing demand of the Indian gas market,” Rath said.
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In June, TotalEnergies CEO Patrick Pouyanné said he expected development to resume this summer. TotalEnergies is the project’s operator with a 26.5 percent stake, while Mitsui and Co holds 20 percent and Mozambique’s state-owned ENH owns 15 percent.
A consortium of Indian state firms, ONGC Videsh, Bharat PetroResources, and Oil India, jointly hold 30 percent, with Thailand’s PTTEP owning the remainder.
Oil India also has minority stakes in Russia’s Vankorneft and Taas-Yuryakh projects. Rath highlighted the strong returns from these assets, noting, “A highlight of the year was the robust dividend flow from Russian assets, amounting to 942 million dollars, representing over 91 percent of our original investment in Vankorneft and Taas-Yuryakh, with full recovery expected in the coming year.”
He added that Oil India has already received dividends equivalent to 91 percent of its investment in those projects.
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Image Credit: ETEnergyworld.com
