Mozambique Pitches Sasol and ROMPCO on $250 Million Gas Project

Mozambique is in discussions with South African energy firm Sasol and pipeline company ROMPCO to potentially invest in a new $250 million gas project offshore Mozambique that could send more gas to South Africa.Mozambique plans to have floating storage and regasification units (FSRUs) at the new project at the coastal town of Inhassoro and the port of Beira, as the country aims to become a “power hub” for the region, Rudêncio Morais, CEO and chairman of Mozambique’s national oil and gas company, Empresa Nacional de Hidrocarbonetos (ENH), told Reuters in an interview published on Monday.South Africa currently receives gas from onshore gas fields in Mozambique operated by Sasol, but these are expected to be depleted within several years.Mozambique, however, has huge offshore gas reserves, discovered and under development by international supermajors including ExxonMobil, TotalEnergies, and Eni.“We want our infrastructure by 2030 or 2031, in step with Mozambique LNG, Rovuma LNG and Coral North,” Morais told Reuters, referring to the three projects led by TotalEnergies, Exxon, and Eni, respectively.State-owned firm ENH is part of Mozambique’s contract awards from last year, in which the country granted a 30-year concession to its biggest state firms to build and operate infrastructure for receipt, regasification, storage, and transport of natural gas.Mozambique announced at the end of 2025 that its government approved a decree to grant the concession for the construction and operation of natural gas infrastructure at the Port of Beira and at the smaller site of Inhassoro.The FSRU anchored in Beira and Inhambane “is intended to ensure that the country has the necessary infrastructure for the transport of LNG from the different projects being implemented in the Rovuma Basin, as well as to ensure the sustainability of industrialisation of the country through the share of gas devoted to the domestic market,” Mozambique said in November last year.By MIchael Kern for Oilprice.comMore Top Reads From Oilprice.comChina’s Solar Exports Keep Falling as Beijing Mulls Export ControlsRecord Shipping Costs Force Oil Producers to Slash PricesHormuz Is Turning Shipping’s Fuel Bill Into a Supply Crisis