Mozambique: Coral Sul tax payments expected to reach 16 billion dollars

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Mozambique: Coral Sul tax payments expected to reach 16 billion dollars

12:45 CAT | 09 Jul 2025

File photo: Eni

Throughout its estimated 30 years of useful life, the Coral Sul liquefied natural gas (LNG) floating platform will pay taxes and fees of around 16 billion US dollars to the Mozambican state.

The figure was announced on Tuesday, during a guided visit for journalists to the Coral Sul platform, promoted by the Ministry of Mineral Resources and Energy.

Coral Sul is operated by the Italian energy company, ENI, and the General Director of ENI-Rovuma Basin, Marica Calabrese, gave details on the platform’s operational results, the projects for sustainability, and the impact on the national economy

The platform is anchored 50 kilometres from the coast of Palma district in the northern province of Cabo Delgado. It is about 200 kilometres north of the Cabo Delgado provincial capital, Pemba. The project was formally inaugurated on 23 November 2022 by the then President Filipe Nyusi.

The platform was built by Samsung in a South Korean shipyard, and then towed to the Mozambique Channel, where it was anchored off the coast of Cabo Delgado. Coral Sul extracts natural gas from the ultra-deep waters of the Rovuma Basin. The gas is pumped to the floating platform, where it is liquefied. The platform has the capacity to produce 3.4 million tonnes of LPG per year.

According to Calabrese, by June 2025 501.6 million cubic feet of gas had been processed. 128 shipments (112 of LNG and 16 of condensate) have been exported.

By June, Coral Sul had paid the Mozambican state 210 million dollars in taxes. The LNG is all purchased by the oil company BP, which has an exclusive contract for 20 years, with a possible extension for a further ten years.

Of the various LNG projects for Cabo Delgado, Coral Sul is the only one currently in production. Given its offshore location, the floating platform is not a target for the Islamist terrorists whose raids have delayed operations at the onshore facilities in the Afungi peninsula.

Source: AIM