Cabo Delgado: Galp CEO expresses confidence in official security measures – Mozambique

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Cabo Delgado: Galp CEO expresses confidence in official security measures – Mozambique

12:39 CAT | 19 Feb 2020

[File photo: Lusa]

Galp’s Chief Executive Officer Carlos Gomes da Silva is confident that the Mozambican authorities are taking the necessary steps to control the violence in Cabo Delgado, where the company is involved in natural gas projects.

“There is a problem. The dimension of that problem has to be put into perspective. This problem has to be addressed. I believe that all measures are being taken to make this happen,” he told Lusa agency in London, where an Investor Day event took place yesterday.

Galp has a 10% interest, as do KOGAS and the Mozambican National Hydrocarbon Company (ENH), in a natural gas extraction project in the Rovuma basin, in northern Mozambique, led by Eni, Exxon Mobil and CNPC, which expects to start production in 2025.

It also participates – with the same consortium – in the Coral Sul project, the Mozambique Rovuma Venture (MRV), which will operate exclusively on a floating platform offshore, with production of natural gas is expected to start in 2022.

In addition to the MVR, the Rovuma basin in northern Mozambique hosts a consortium led by Total, which took over from the American company Anadarko in Area 1.

The Rovuma gas extraction projects will work off the coast of the northern province of Cabo Delgado, using an under-sea pipeline to supple a liquefaction plant under construction in Palma, on the Afungi peninsula, where oil majors will share infrastructure.

Gas exports from the Rovuma basin are expected to increase Mozambique’s gross domestic product to new highs over the next decade.

Armed attacks in the province of Cabo Delgado in northern Mozambique broke out in 2017, reportedly spearhead by local mosque-goers ‘radicalised’ by foreigners, according to local Islamic leaders, who warned of friction between the faithful.

There has never been a verifiable claim of responsibility for the attacks. Experts and authorities consider claims since June by the `jihadist` Islamic State group, some sporting alleged images of actions, scarcely credible.

The attacks have already claimed at least 350 lives, and 156,400 people have lost property or been forced to abandon their homes and land in search of safety.

In February 2019, a worker at a company subcontracted by oil company Anadarko was killed, prompting the Mozambican government to strengthen security in the region.

Source: Lusa