Mining & Energy
U.S. EXIM Bank seeks vote on $5 billion loan to Mozambique LNG project
Mozambique’s state-owned oil and gas company, Empresa Nacional de Hidrocarbonetos (ENH), sought loans from foreign state institutions in order to invest in natural gas production in the Rovuma basin, it has announced.
“We went not for commercial banks, but rather for credit export agencies, which are sponsored by governments,” said Omar Mithá, ENH’s CEO, as quoted in Thursday’s edition of Notícias newspaper.
Mithá did not say how much the company had requested from the foreign institutions but stressed that it represents 15% of its stake in the natural gas consortia in Rovuma.
ENH, he added, is awaiting the disbursement of the loans that it requested in order to be able to make capital investment of $25 billion (€22.2 billion) announced on 18 May in Maputo by the consortium led by US oil company Anadarko.
“Since we did not have the liquidity, we were forced to resort to loans as a way to guarantee our participation in this important project,” Mithá explained.
He stressed that ENH will repay the loans as and when the gas production projects develop, and that the foreign institutions accept that situation.
In addition to the final investment decision already announced by Anadarko for area 1 in Rovuma, a consortium led by Italy’s ENI is also expected later this year to announce its own investment, in area 4.Source: Lusa
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